Middle East

Qatar sells crude oil at the highest premium in 4 months: Report-Doha News

QatarEnergy is reported to have signed contracts with five global companies for a $ 28.75 billion Northfield East project.

The state-owned QatarEnergy oil company sold two cargoes of Al Shaheen crude oil at the highest premium in four months. Reuters Reported on Wednesday.

QatarEnergy has set its September term price at a premium of $ 9.82 a barrel after the bid was placed, three trade sources said. It rose from $ 9.24 in June.

Middle East crude oil spot premium surged in July as a global supply The remaining “Severe” due to western sanctions imposed on Russia, one of the world’s largest oil producers.

Price premium is the percentage of a product’s selling price above the benchmark price, and spot premium is the additional value charged relative to the market price (spot price).

Al-Shaheen’s cargo was purchased at a premium of $ 9.88 and $ 9.08 per barrel in Dubai, according to sources. ExxonMobil and Tossa are likely to have purchased cargo to be loaded between September 1-2 and 28-29, sources added.

QatarEnergy also sold September-loaded Qatar offshore crude oil to a Japanese refiner at a premium price of $ 9 a barrel to Dubai.

Qatar’s LNG supply during the energy crisis

Qatar’s gross domestic product (GDP) is estimated to increase to 4.9% this year due to a 10% increase in hydrocarbon exports and billions of plans for the Northfield expansion project.

This is the largest project of its kind and, according to the latest reports, aims to increase the annual production capacity of Qatar’s liquefied natural gas from 77 million tonnes to 126 million tonnes by 2027. World Bank (WB) Global Economic Outlook report.

The report noted the unexpected economic consequences unraveled by the conflict between Russia and Ukraine, especially the “positive” impact on Qatar’s economy.

“For the economy of Qatar, the world’s largest exporter of liquefied natural gas, the impact of the Ukrainian war on commodity markets and related economic sanctions is balanced and positive.” WB report Said.

EU countries are keen to secure energy cooperation with oil-rich Gulf countries as they are moving towards ending Russia’s dependence on gas and strengthening its economic response to Ukraine’s aggression.

Europe receives 40% of its gas supply from Moscow and almost one-third of its cargo passes through Ukraine.

Qatar’s methane control efforts

Despite its expansion, QatarEnergy joined a group of oil and gas companies in late June to reduce almost all of the methane footprint produced during operations by 2030. ..

The world’s largest producer of liquefied natural gas (LNG) has signed the Aiming for Zero Methane Emissions Initiative as the first company to join outside of the 12 existing signatories.

Climate change efforts are usually focused on minimizing greenhouse gas emissions, but the focus is on methane foot because of its ability to trap more heat in a shorter period of time than carbon dioxide. We are rapidly shifting to printing.

Methane is more than 25 times more effective than carbon dioxide in trapping heat in the atmosphere. Over the last two centuries, methane concentrations in the atmosphere have more than doubled, primarily due to human-related activities.

Methane is responsible for about a quarter of all climate change already experienced worldwide.

Natural gas, which is composed primarily of methane, is a major, if not the largest, factor in the prosperity of Qatar’s economy and the activities of QatarEnergy’s state-owned oil companies.

The International Energy Agency’s (IEA) methane tracking found last year that more than 70 million tonnes of methane were produced in the atmosphere by oil and gas businesses around the world. Description This is “almost equal to the total energy-related carbon dioxide emissions from the entire European Union.”

https://dohanews.co/qatar-sells-crude-at-highest-premiums-in-four-months-report/ Qatar sells crude oil at the highest premium in 4 months: Report-Doha News

Back to top button