Oil and gas market in Qatar

Qatar is the world’s largest exporter of liquefied natural gas (LNG). Qatar’s natural gas production costs are among the lowest in the world, with some of the most cost effective LNG and GTL facilities globally.

Qatar also produces large volumes of condensate alongside its gas, offering high-quality, low-cost refining feedstock. Qatar's crude oil production has been slipping in recent years, with minimal prospects for substantial increases.

QatarEnergy is Qatar’s state-owned integrated oil and gas company responsible for both upstream and downstream oil and natural gas operations. The corporation operates a number of subsidiaries responsible for exploration and production, refining, transport, storage and local and international sales.

Key Opportunities for Canadian oil and gas companies in Qatar

  • Separation and capture of CO2
  • Developing pipelines that connect sources and sinks
  • Build Expertise: In addition to developing carbon capture and storage (CCS) capacity, Qatar also seeks to develop specific CCS technologies. Such technologies will build on Qatar’s domestic experience with gas extraction and using CO2 for enhanced oil recovery. A long term goal is the commercialization of these technologies for use in other countries
  • Capacity Building in Policy Framework: Mapping CCS storage sites in Qatar, Financing for CCS

Notable Challenges for Canadian companies in Qatar

Qatar is highly competitive as major players from the US and EU are present and well-entrenched in the industry. Pre-registration is required on the preferred Vendors List at QatarEnergy, so no pre-registration for open tenders. A local presence is not required, but is an advantage, including joint ventures (JV’s) with local partners.

Industry highlights

44.0%

Hydrocarbon share of  total GDP

#21

Globally and second regionally in Kearney's 2023 Foreign Direct Investment (FDI) Confidence Index

$82.5bn USD

Capex for O&G projects 2021-25.

$132bn USD

Qatar O&G exports in 2022

25%

Planned reduction in CO2 by 2030

11mt/y

CCS by 2035

Business Landscape

  • Qatar enjoys political and economic stability, high-quality infrastructure and has one of the lowest corporate tax rates globally
  • Qatar National Vision 2030 (QNV 2030) is a development plan launched in 2008. With 200 billion USD investment, QNV2030 aims to transform the country into an advanced society capable of achieving sustainable development by 2030
  • Qatar is Home to over 85 different nationalities and ranks as one of the top global economies in terms of competitiveness and innovation
  • While gas remains the key driver for Qatar’s economy, the government has been working on diversifying the economy by offering incentives to attract businesses, expertise, and foreign investments, particularly in the fields of tourism, education, manufacturing, healthcare, agriculture and information technology (IT)

Upcoming Projects and Events

  • 30" Khuff Gas Pipeline Replacement - Phase II, Pipeline Project
  • Al Karkara and A-Structural, Field Development Project
  • Al Khalij North Development Project - Phase III, Field Development Project
  • Al Rayyan Field (Block 12), Field Development Project
  • Al-Shaheen Offshore Field Development, Field Development Project
  • Barzan Gas Development Phase 1 - Offshore Portion, Field Development Project
  • Qatar will host the 21st International Conference & Exhibition on Liquefied Natural Gas “LNG 2026”

Summary

Qatar has established strong multinational partnerships and is dedicated to knowledge and technology transfer. Qatar has adopted state-of-the-art technologies and solutions from global trading partners. Canadian technology and expertise in Oil and Gas enjoys a strong reputation in Qatar’s Oil and Gas sector. However, greater effort must be made by Canadian business to visit the market and to build business relations with the country’s key stakeholders.

For more information on Oil and Gas/Cleantech in the Qatar market please contact dohatd@international.gc.ca

Additional Information

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