QatarEnergy Embarks on Monumental $6 Billion Expansion of Al-Shaheen Field, Set to Boost Oil Production by 100,000 BPD
In a strategic move, the company has awarded four pivotal Engineering, Procurement, Construction, and Installation (EPCI) contracts, collectively worth over six billion dollars, for the expansion of the offshore Al-Shaheen field – Qatar’s largest oil field.
This landmark award is integral to Project Ru’ya (“vision” in Arabic), representing the third development phase of Al-Shaheen since its operation commenced in July 2017 by North Oil Company Qatar, a joint venture between QatarEnergy (70%) and TotalEnergies (30%). Project Ru’ya, a visionary initiative set to develop more than 550 million barrels of oil, is scheduled over five years, with the first oil production anticipated in 2027.
The scope of Project Ru’ya is vast and transformative. It encompasses drilling over 200 wells, installing a new centralized process complex, nine remote wellhead platforms, and associated pipelines – a clear indicator of QatarEnergy’s commitment to innovation and excellence in energy production.
The EPCI contracts, integral to this ambitious project, have been awarded to leading global companies:
- The EPC package for nine wellhead platforms, valued at about $2.1 billion, has been awarded to a consortium of McDermott Middle East Inc. and Qingdao McDermott Wuchuan Offshore Engineering Co.
- The Central Processing Platform EPC package, worth approximately $1.9 billion, is awarded to a consortium of McDermott Middle East Inc. and Hyundai Heavy Industries.
- Larsen & Toubro Limited has secured the EPC contract for a riser platform, valued at around $1.3 billion.
- The EPC package for subsea pipelines and cables, valued at about $900 million, has been entrusted to China Offshore Oil Engineering Co (COOEC).
This series of contracts not only signifies a major economic investment but also reflects QatarEnergy’s dedication to bolstering its position as a leader in the global energy sector. The Al-Shaheen field expansion is set to be a game-changer, reinforcing Qatar’s pivotal role in meeting the world’s energy needs.