Qatar looking for investment

Qatar Petroleum International is currently looking for investments with its latest one being in Asia. The company is planning by 2015 to build two petrochemical plants at a cost of around US$9.8 billion to tap demand in the world's fastest growing region.

Arabian Business report that CEO Nasser al-Jaidah said in an interview in Tokyo that Qatar will partner Cnooc Ltd. and a Chinese petrochemicals maker to construct a US$5.8 billion plant in China's Hainan province.

Another project in Vietnam will cost as much as US$4 billion and both ventures will use Qatari liquefied petroleum gas to produce chemicals, he said.

To build the plant in Vietnam, Qatar has begun preliminary talks with Vietnam Oil & Gas Group, known as PetroVietnam, Itochu Corp. and companies in Thailand that al-Jaidah didn't name.

Growth

"There is huge potential for growth in Asia, especially China," al-Jaidah said. "We can hit two birds with one stone - tap the markets and exit our product,""he said, without disclosing Qatar's share of investment in the venture.

The Middle Eastern country in investing in Asia as it seeks new markets for its LPG output that may double to 12 million metric tons by 2010.

Qatar Petroleum International last week agreed to buy stakes in Royal Dutch Shell Plc's two petrochemical ventures in Singapore, which was the companies first such investment overseas, Bloomberg reported.

The companies started a venture called QPI & Shell (Singapore) Pte, which will acquire Shell's 50 percent stake in Petrochemical Corp. of Singapore Pte and 30 percent share in Polyolefin Co., according to a joint statement issued in the Southeast Asian city state.

China National Offshore Oil Corp. agreed this month to purchase an additional three million tons of Qatari liquefied natural gas a year.

The Hainan plant will have a processing capacity of around 3.8 million tons of LPG a year and may be approved by the National Development and Reform Commission, China's top economic planner, in the second half of next year, al-Jaidah said.

The Hainan project will be capable of producing chemicals such as polypropylene, used in tires, shoes and plastic products, he said.

Qatar Petroleum International will bid next month to construct a gas-fired power plant in Oman, together with Qatar Electricity & Water Co., Chubu Electric Power Co. and Marubeni Corp, the CEO added.

 

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