Tenders – Qatar Petroleum (QP)

Qatar Petroleum issues EPC tender for liquid products storage and loading facilities of the North Field Expansion Projec

Qatar Petroleum (QP) has issued “Invitation to Tender” packages for the Engineering, Procurement and Construction (EPC) of additional liquid products storage and loading facilities and Mono-Ethylene Glycol (MEG) storage and distribution facilities, which will be located in Ras Laffan Industrial City and will be part of the North Field Expansion (NFE) Project.
New facilities covered under this tender include a new propane storage tank, vapor recovery compressors for propane and butane tank refrigeration, a plant condensate storage tank, a MEG storage tank and distribution system, a new liquid products export berth and liquid product lines from the main NFE plant location to the liquid products storage area.

Commenting on the announcement, His Excellency Mr. Saad Sherida Al-Kaabi, the Minister of State for Energy Affairs, the President & CEO of Qatar Petroleum said, “The release of this tender package reflects the continuing progress Qatar Petroleum is making on the expansion of our LNG production capacity. With the volume of associated liquid products the NFE project will generate from offshore production and onshore gas processing, it was necessary to expand our existing storage and loading facilities. The unique approach in our contracting strategy for the multiple EPC packages allows us to match the execution expertise in the EPC contracting community to this specific scope of work.”

The NFE Project involves the addition of four mega LNG trains as part of Qatar Petroleum’s plans to expand the State of Qatar’s LNG production from 77 million to 110 million tons per annum by 2024.

Qatargas is entrusted with executing this mega-project on behalf of Qatar Petroleum. As the World’s Premier LNG Company, Qatargas has an established history in delivering such major projects and in operating various onshore and offshore facilities in the North Field with a high degree of reliability and operational excellence.

About Offshore Operations

Qatar Petroleum operates two offshore production stations, PS-2   and PS-3, which are in the northeast of Qatar’s territorial waters. These production stations are located in the Maydan Mahzam (MM) and Bul Hanine (BH) fields.

Qatar Marine Crude from these fields represents about 28% of Qatar’s total crude oil production, out of which 10% comes from QP-operated fields and 18% from QP’s joint venture partners. Both PS-2 and PS-3 platforms produce crude oil, associated gas and condensate. Oil with condensate is piped to Halul Island for storage and export.

Located around 96 kilometers northeast of Doha, Halul Island has an area of 1.5 square kilometres, and it is equipped with major oil terminal facilities that meet all international standards. It is the main storage and export terminal for Qatar Marine Crude.  The island has 11 large crude oil storage tanks with a total capacity of five 5 million barrels, and it has tanker-loading capabilities comprising two single mooring buoys (SBM) that allow two tankers to be loaded simultaneously.

QP’s Offshore Operations has been operating the Maydan Mahzam and Bul Hanine oil fields and the Halul Island Terminal and Export facilities for the past 50 years with excellent safety record while protecting and caring for the environment.

QP’s Offshore Operations takes all measures to ensure the integrity of its surface and subsurface offshore facilities, and it continues to upgrade and enhance its facilities to meet industry challenges and it promotes the continued development of its offshore fields by adopting industry best practices.

Mesaieed Industrial City

Mesaieed Industrial City (MIC) is located approximately 40 kilometers south of Doha and is currently the hub for petrochemicals, chemical fertilizers, oil refining, metallurgical and primary building materials industries in Qatar. In addition, MIC hosts numerous small and medium-sized industries as well as a well-planned, self-contained, sustainable, modern township with fully-serviced infrastructure providing a high quality of life for its residents.

MIC provides industries with land, roads and self-contained residential facilities to accommodate the resident workforce. Other services provided include emergency response coordination, environmental monitoring, fire-fighting, medical and security.

A wide range of products are produced in MIC. These include natural gas, petrochemicals, plastic resins, refined petroleum products, aluminium, steel, etc., which are supplied to the local, regional and international markets.

The Port of Mesaieed handles the export of hydrocarbons, petrochemicals and aluminium produced by industries in the area. In addition, the MIC port handles all the imports of primary building materials, such as steel and Gabbro, into Qatar. The port includes the largest container terminal in the country.

The Mesaieed Light Industrial Area covers over 3 million square meters and caters to small and medium enterprises (SMEs) supporting primary industries in Mesaieed. The hazardous waste treatment facility is the only facility of its kind in Qatar and provides services for industries in and around Mesaieed.

MIC also hosts a number of community and government schools as well as a modern international school with 1,700 students from kindergarten to secondary. A wide range of shopping facilities are available in the town centre and these include indoor and outdoor malls. The city also offers a variety of sports and recreational facilities, including a desert golf club, a multipurpose recreation complex and a number of social and recreational clubs.

Ras Laffan Industrial City

Ras Laffan Industrial City (RLC), which is located 80 kilometres northeast of Doha, is the base for all onshore operations to support the development and utilization of Qatar’s North Field gas assets. It commenced operations in 1996 by initially providing land, infrastructure and port facilities to Qatargas. Since then, RLC has evolved into a world-class industrial city, facilitating the needs of the most technologically sophisticated natural gas-based industries.

RLC provides industries with land, roads and common corridors for pipelines, and other utilities’ structures. The Port of Ras Laffan, which is the largest LNG export facility in the world, facilitates the marine export of all the hydrocarbons and sulphur produced by industries, the import of general cargo, and the support of offshore production operations in the North Field.

RLC also provides industries with various utilities including desalinated water, potable water, power, telecommunications, seawater through the Common Seawater Facility, as well as municipal waste treatment and disposal. Other services provided include emergency response coordination, environmental monitoring, fire-fighting, medical, security and camp accommodation for designated categories of the workforce.

The Ras Laffan Support Services Area (RSSA), which covers 3 million square meters and located on the west side of RLC, has been developed for industries that provide support services for the oil, gas and petrochemical industries in Qatar and the region.

RLC is also home to the Ras Laffan Emergency and Safety College (RLESC), a world-class international college that will be operational in 2013 and will provide emergency and safety training to the oil, gas and petrochemicals industry as well as to civil defence, aviation and the military in Qatar and the region.

Gas Operations

Qatar Petroleum’s Gas Operations is responsible for managing the complete value chain for non-associated gas production, associated gas and natural gas liquids (NGL) processing, local transmission and distribution and export of liquefied petroleum gas (LPG) and condensates.

Its key operational objectives include operating the plants with the highest possible levels of personnel and plant safety, optimizing the processing of various feed streams in a cost-effective manner, serving the fuel/feedstock requirements of Qatar’s power plants and local industries, and serving the export targets for LPG and NGL condensate.

The assets under Gas Operations include the following:

• North Field Alpha – Offshore gas production in Qatar’s North Field

• Khuff Facilities – Onshore gas production in Dukhan

• North Field Injection Station (NFIS) – Gas reinjection facilities at Fahahil in Dukhan

• NGL Complex – Gas processing plants in Mesaieed

• LPG and condensate storage tanks in Mesaieed

• NGL Jetty in Mesaieed – For exporting LPG and condensates

Gas Operations is also responsible for the Transmission and Distribution Pipelines Network, which is an interconnected hydrocarbon pipeline network – the Gas Distribution System (GDS) – of over 3,100 kilometers of pipelines, associated manifolds and more than 70 distribution stations located throughout the State of Qatar.

In 2012, a daily average of more than 2,150 mmscfd gas was supplied to various power plants and industries in Qatar as fuel and feedstock. This included 224 mmscfd of Stripped Associated Gas (SAG). In addition, 162 mmscfd of ethane gas was supplied as petrochemical feedstock to QAPCO and RLOC plants in Qatar.

Dukhan Operations

Dukhan is a large oil and gas field extending over an area of approximately 80 kilometers by 8 kilometers and is located about 80 kilometers to the west of Doha. The first well was drilled in Dukhan in 1939-1940, and it confirmed the presence of commercial quantities of oil in the area. Further work was suspended due to World War II, and the first oil shipment from Qatar was eventually exported though the Mesaieed Port on 31 December 1949.

The Dukhan Field consists of three sectors from north to south — Khatiyah, Fahahil, and Jaleha/Diyab. The oil and gas produced from the field are separated in four main degassing stations, namely Khatiyah North, Khatiyah Main, Fahahil Main and Jaleha. Stabilized crude oil is then transported through pipeline to Mesaieed Port, which is about 100 km east of Dukhan.

The actual annual production of the Dukhan Field is based on reservoir management requirements. Other production facilities are related to associated gas, non associated gas, raw NGL production from associated gas, Arab D gas cap, and recycling plant to produce NGL and condensate.

Dukhan Operations has storage and export facilities at Mesaieed Terminal. The production support activities comprise facilities of power receipt and distribution, potable water distribution, a power station, workshop facilities and a communication network in the Dukhan Field. In addition to production and process facilities, various housing and recreational facilities are available in Dukhan and clubs, catering and security services are also provided to Dukhan residents.

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