ExxonMobil and QGPC Sign Enhanced Gas Utilization Development and Production Sharing Agreement.Business Editors IRVING, Texas--(BUSINESS WIRE)--May 2, 2000 ExxonMobil Middle East Gas Marketing Ltd., an Exxon Mobil Corporation Exxon Mobil Corporation U.S.-based oil and gas company formed in 1999 through the merger of Exxon Corp. and Mobil Corp. It has investments and operations in petroleum and natural gas, coal, nuclear fuels, chemicals, and ores. (NYSE NYSE See: New York Stock Exchange :XOM) subsidiary, and Qatar General Petroleum Corporation (QGPC) announced today that they have signed a Development and Production Sharing Agreement Production sharing agreements (PSAs) are used primarily to determine the share a private company will receive of the natural resources (usually oil) extracted from a particular country. (DPSA) for the Enhanced Gas Utilization (EGU) project. Under the EGU project, additional North Field gas will be developed for pipeline sales to domestic projects and regional gas exports. The signing ceremony was attended by HE Abdulla bin Hamad Al Attiyah, Minister of Energy, Industry, Electricity and Water and Chairman of QGPC, Mr. Lucio A. Noto, Vice Chairman, Exxon Mobil Corporation, and Mr. Harry J. Longwell, Senior Vice President, Exxon Mobil Corporation. The signing of today's agreement follows the signing of the Heads of Agreement Heads of Agreement A non-binding document outlining the main issues relevant to a tentative partnership agreement. Notes: It is the draft used by lawyers when drawing up the contract. It serves as a guideline for both parties before any documents are legalized. (HOA HOA see hypertrophic osteopathy. ) for the project in December 1998. The EGU project will produce gas from the North Field with nominal capacity of 1.75 billion cubic feet per day (1.75 BCFPD BCFPD Billion cubic feet per day (oil & gas) BCFPD Bismarck Community Fire Protection District ) of gas sales to supply domestic demand and export to regional markets. The project will also produce condensate, butane and propane for export, as well as ethane ethane (ĕth`ān), CH3CH3, gaseous hydrocarbon. It is a continuous-chain alkane. As a constituent of natural gas, it is used for fuel. It can be prepared by cracking and fractional distillation of petroleum. for feedstock to future petrochemical ventures. "The signing of today's agreement demonstrates Qatar's continued implementation of its strategy in developing its industrial base. This is the fourth major project to develop gas reserves from Qatar's giant North Field. It follows earlier developments by QGPC to supply gas to local markets and by QGPC and partners in the Qatargas and RasGas LNG projects. It also represents a continued important step in the systematic development of the North Field and Qatar's efforts in becoming a major supplier of gas to regional and international markets. Marketing efforts in Qatar and with GCC countries are progressing well," HE Minister Al Attiyah said. "We are proud of the progress we have made together with partners in QGPC, first with Qatargas and RasGas. The EGU project expands our position and strengthens our relationship with Qatar," said Mr. Noto. "We are grateful for the confidence and trust placed in ExxonMobil to supply domestic gas demand in Qatar and the opportunity to participate in Qatar's diversification into regional gas exports. We are looking forward to jointly develop these markets and the EGU project with QGPC," added Mr. Longwell. |
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