QP announces the readiness of North Oil Company as the operator and developer of Al-Shaheen offshore oil field
Under the patronage, and in the attendance, of His Excellency Sheikh Abdullah Bin Nasser Bin Khalifa Al-Thani, the Prime Minister and Interior Minister, Qatar Petroleum held a special event to mark the inauguration of North Oil Company (NOC) as the new operator and developer of the offshore Al-Shaheen oil field, north of Qatar.
Qatar Petroleum has announced that North Oil Company has successfully completed all transition activities to take over the operation of the giant Al-Shaheen oil field on Friday 14 July 2017 – the day of the expiry of the exploration and production sharing agreement between Qatar Petroleum and the Field’s former operator, Maersk Oil. Under the new contractual arrangements that were put in place in June 2016, NOC has been licensed the rights to the development and operation of Al-Shaheen oil field for the next 25 years.
North Oil Company was established a year ago as a partnership between a wholly owned affiliate of QP (70%) and a wholly owned affiliate of Total (30%) to develop and operate Al-Shaheen oil field.
In a speech at the inauguration event, Mr. Saad bin Sherida Al-Kaabi, the President & CEO of Qatar Petroleum, welcomed H.E. the Prime Minister and the CEO of Total and said “First of all, I would like to extend my deep thanks to Maersk Oil, whose production sharing agreement with Qatar Petroleum will expire in two days. Maersk has worked in this field for 25 years and has exerted great efforts in its successful development. I wish them every success, and I would also like to invite them to join hands with Qatar Petroleum in new field development opportunities, whether inside or outside Qatar.”
Mr. Al-Kaabi welcomed North Oil Company to Qatar’s oil and gas family and said “I would like to thank all those concerned in Qatar Petroleum, TOTAL, North Oil Company, and Maersk for all their efforts in ensuring a smooth and safe transition of the Field’s operations. NOC marks an important milestone in Qatar’s oil and gas industry, and will play an important role in maintaining the longest possible plateau of sustainable production levels and hence, in contributing to the State of Qatar’s economic development over the next 25 years.”
Mr. Al-Kaabi said: “We attach great value to our relationships with our international partners in the oil and gas industry, including Total, which has worked in Qatar for more than 80 years, sharing our core principles and values of commitment to contracts, transparency, and adherence to the highest security, safety and environmental standards in all our operations. We believe that such values are core to making Qatar one of the most attractive countries in the world for investment in the oil and gas sector.”
Mr. Saad Al-Kaabi stressed that Qatar Petroleum remains committed to its obligations towards all its customers without exceptions, and said “We have demonstrated a unique ability to respect our contracts in the best ethical business practice regardless of the prevailing circumstances. We are proud of the international recognition and admiration which Qatar Petroleum has received for its professional conduct during the unjust siege that has been imposed on the State of Qatar and its people and residents. We have mobilized all resources, from the very first day of this aggressive act, to ensure continued safe and reliable energy supplies to all customers in more than 130 countries across the globe. We have also affirmed business as usual throughout all our operations, and across all of QP’s world-class facilities. I would like to re-affirm that Qatar Petroleum and all its companies have placed adequate plans to function under the assumption that the status quo could continue indefinitely. I would like to thank all those working in the energy sector, Qataris and expatriates, who have been working diligently as one solid team to ensure business as usual.”
Commenting on the occasion, Mr. Patrick Pouyanné, the Chairman & CEO of Total, said: “Joining Al-Shaheen is a major milestone and accomplishment in the long history of the Group’s partnership with Qatar, where we have been active for more than 80 years. The transition activities were conducted successfully thanks to the strong commitment of all parties and the deployment of the best expertise by both Total and Qatar Petroleum.”
Mr. Pouyanné said “NOC will leverage its technical capabilities to optimize the exploitation of Al- Shaheen complex oil field. Our solid development plan for Al-Shaheen includes the drilling of more than 100 wells over the next 5 years and the implementation of new technologies in order to maintain production while preserving the highest safety standards and reducing operating costs.”
NOC is set to become a world leading offshore operator by developing one of the largest and most complex oil fields in the world and by applying cutting-edge, innovative and world- class technologies.
Since its creation, NOC has worked together with its shareholders and the former operator, Maersk Oil Qatar, to ensure a safe and efficient transition of the existing operations.
Al-Shaheen oil field is located in Qatari waters 80 kilometers north of Ras Laffan with facilities consisting of 33 platforms and close to 400 wells. Currently producing about 300,000 barrels of oil per day, Al Shaheen is Qatar’s largest offshore oil field and one of the largest offshore oil fields in the world.