Shell has been selected by QatarEnergy as a partner in the North Field East expansion project and will hold a 25% share in a joint venture company with the state-owned public corporation.
Shell’s investment will support delivery of much-needed supplies of natural gas to markets. The project comprises four mega LNG trains with a combined nameplate LNG capacity of 32mn tonnes per annum.
The project will also be integrated with carbon capture and sequestration to reduce emissions.
Shell CEO Ben van Beurden said through its integration with carbon capture and storage, this landmark project will help provide LNG the world urgently needs with a lower carbon footprint.
"Lower carbon natural gas is a key pillar of our Powering Progress strategy and will also help us achieve our target of becoming a net-zero emissions business by 2050," he said.
“This agreement deepens our strategic partnership with QatarEnergy which includes multiple international partnerships such as the world-class Pearl GTL asset."
His Excellency Saad Sherida Al-Kaabi was "very pleased" to have Shell join us as a partner in this mega project.
"Today’s announcement marks the successful conclusion of the selection of our international energy company partners in the North Field East project, through which QatarEnergy and its partners reaffirm their commitment to the energy transition and to the safe and reliable supply of cleaner energy to the world,” he said.
This agreement is the fifth and last in a series of partnership announcements in the $28.75bn NFE project, which will raise Qatar's LNG export capacity from the current 77mtpa to 110mtpa, according to the Qatar Tribune.
QatarEnergy recently joined the Aiming for Zero Methane Emissions Initiative, which aims to reach near zero methane emissions from operated oil and gas assets by 2030.