Qatar and Shell sign petrochemicals complex development agreement

Qatar Petroleum has signed an agreement with Shell to develop a petrochemicals complex in Ras Laffan Industrial City, Qatar.

As per the conclusion of a joint feasibility study between both companies, they will develop a steam cracker using Shell's proprietary Only MEG Advantaged (OMEGA) technology and a mono-ethylene glycol plant of up to 1.5 million tons per annum.

Using Shell's proprietary Shell Higher Olefin Process (SHOP), they will also develop 300kt per annum of linear alpha olefins and develop another olefin derivatives.

Under the agreement, Qatar will own an 80% equity interest in the project and Shell will retain 20%.

Qatar Energy and Industry Minister Al-Sada said this large petrochemicals complex would provide Qatar with another viable option to extract optimal value from its natural gas resources.