Qatar Petroleum Plans $2 Billion Petrochemicals Project

State-owned Qatar Petroleum is planning to establish a $2 billion petrochemicals project in partnership with its subsidiary Qatar Petrochemical Company, France-based Atofina Chemicals and the Chevron Philips Chemical Company, Emirates Business has reported.

One half of the proposed project will be constructed in the Ras Laffan Industrial City while the remaining half will be built in the Mesaieed Industrial Area.

Hamad Al Mohannadi, general manager of the Qatar Petrochemical Company, was quoted by Emirates Business as saying that in addition to this new project three other petrochemical projects are currently being constructed in Qatar.

Mr Al Mohannadi also said that the cost structure of petrochemical projects in Qatar has decreased considerably due to the supply of ethylene from the Al Shama field. The Qatari petrochemical industry was previously dependent on gas produced during oil production, which pushed costs higher.