In a bid to secure customers for its gas output, Qatar- the world's third-largest gas reserve holder, plans to sign a memorandum of understanding (MOU) with China National Petroleum Corporation (CNPC). This MOU is to be signed next year for the construction of a petrochemicals plant in China. Talks are on with Royal Dutch Shell about joining the project. The company is considering a plant in China that would use 200,000 bpd of LPG products.
Qatar's attempt to tap swelling petrochem demand from Asia, manufacture of which can use propane and butane products from LPG as feedstock, has set the tables to make Qatar the world's second-largest producer of liquid petroleum gas by 2012.