Total has been awarded a 30 per cent stake in the offshore Al-Shaheen oil field concession in Qatar. The agreement was signed with Qatar Petroleum who will own the remaining 70 per cent stake. The deal will take effect on the 14th July 2017 and will see Total being involved in the project for the next 25 years
“Total is honored to have been awarded a 30 per cent interest in the Al-Shaheen concession. This is an important recognition of Total’s technical and commercial competence, and the Group will deploy its best technical expertise and experienced teams to this field,” said Patrick Pouyanné, chairman and CEO of Total.
“Our contribution to the development of the Al-Shaheen field is a significant milestone in the long history of the Group’s partnership with Qatar, where for 80 years we have been active in the entire hydrocarbon value chain including oil and gas production, LNG, refining and petrochemicals. This agreement is in line with Total’s strategy to reinforce its presence in the Middle East, in particular by accessing giant fields and by complementing its portfolio with low-technical cost oil assets.”
Qatar’s Al-Shaheen field currently produces around 300,000 barrels per day (bpd) of crude oil, equivalent to 40 per cent of Qatar’s total daily production. The field is located 80 kilometres north of Ras Laffan.
Saad Sherida Al-Kaabi, president & CEO of Qatar Petroleum said “QP’s objective for the competitive process was to choose a partner that has world class technical capabilities that enable it to continue the development and operation of Al-Shaheen field in partnership with QP, while at the same time ensuring the highest possible financial return to the State of Qatar.”
The new deal will see current partner Maersk Oil leave the project. Al-Kaabi thanked Maersk Oil Qatar for their “significant efforts and valuable contribution in managing the Al-Shaheen field during the past quarter of a century and for the offer they have presented.”