Qatar had lifted the 12-year moratorium imposed on the development of the North Field, the world’s largest non-associated gas reservoir, in April 2017, a recent report revealed on Sunday.
This step is expected to increase Doha’s liquefied natural gas (LNG) exports and production, Qatar National Bank (QNB) said.
In July 2017, Qatar announced that developing the North Field would increase LNG production by 30% to record 23 million tonnes per year by 2024, compared to the current output.
Qatar’s LNG output is forecast to reach 100 million tonnes a year, which enhances the GCC nation’s position as the leading LNG producer, QNB noted.
Meanwhile, the global market is projected to see fresh LNG supplies by 2020, but “little confirmed new projects beyond then.”
“Global LNG markets are expected to be oversupplied until 2022 with capacity utilization expected to be in the range of 81- 88% on average between 2019-22, but become undersupplied thereafter,” according to the report.
By 2020, the US and Australia are forecast to boost LNG global production by up to 96.5 million metric tons per annum (mmtpa), or about 30% compared to the 2017 level, the report found.