QatarEnergy and Chevron Phillips sign $6bn agreement

Qatar's national oil and gas company QatarEnergy and the US-Dutch Chevron Phillips Corporation have signed an agreement to build the Ras Laffan Petrochemicals plant, worth an estimated $6bn.

According to the company, Ras Laffan Petrochemicals will be an integrated alkenes and polyethylene production facility located in the industrial city of Ras Laffan (80km northeast of Doha).

Under the agreement, QatarEnergy owns 70% of the company and Chevron Phillips 30%.

It is also noted that the Ras Laffan petrochemical complex is expected to be commissioned in 2026. It includes an ethane cracker with a production capacity of 2.1 million tonnes of ethylene per year and two polyethylene lines with a total capacity of 1.7 million tonnes of high-density polymer products per year. This will increase Qatar's total petrochemical production capacity to almost 14 million tonnes per year.