Regional LNG: Qatar aims to become world's top LNG producer

The tiny Gulf state of Qatar said on Friday it expects to be the world's biggest producer of liquefied natural gas (LNG) within the next two years, Reuters reported.

First Deputy Prime Minister Sheikh Hamad bin Jassim bin Jabr al-Thani told CNBC television Qatar was now producing 15 million tonnes a year of the fuel but aimed eventually to raise this to 60 million tonnes.

Indonesia is the top LNG producer at the moment followed by Algeria.

"Within the next two years we will be number one (producer) in the world. Within the next five years we will be far ahead -- three, four times -- from the second in the world as a producer."

OPEC producer Qatar ranks as the world's third biggest holder of natural gas reserves after Russia and Iran.

State oil company Qatar Petroleum and its international partners have said they plan to spend 83 billion riyals ($22.8 billion) over the next four years to develop the Gulf producer's energy industry.

Of this total Qatar plans to invest 33 billion riyals on LNG and pipeline projects and 30 billion on refined/gas-to-liquid schemes.

Hamad said he expected around 20 million tonnes of LNG a year to go to the United States and approximately 10 million to Britain. Qatar would send LNG to other destinations including India, Taiwan, Korea and Japan.

Qatar Petroleum has several large gas ventures with oil majors, including ExxonMobil, ConocoPhillips and Total. (*)