Qatari petrochem sector to get an investment boost of over US$20 bln

08-Jul-05

The Qatari petrochemical sector, largely dependent on natural gas as feedstock, is to witness major developments and expansion with Qatar planning to allocate more than US$ 20 billion for petrochemical projects. Qatar is planning to make this investment keeping in view the equal importance of gas-based petrochemical ventures and gas liquefaction and gas-to-liquids (GTL) industries. 12 such projects are under construction in addition to future ventures under planning, at an investment outlay estimated at US$20bn. US$7.04bn has already been spent and US$13bn is allocated for projects due for completion by 2010. * Expansion is currently underway at Qatar Petrochemical Company (Qapco), one of the world's largest petrochemical producers, to raise annual production of ethylene to 730,000 tons from 2007. * Keeping in view Qatar's increasing output of natural gas and corresponding rise in ethane quantities, a giant US$2.5bn venture, was set up in Ras Laffan to process associated ethane into synthetic ethylene and by-products such HDPE and LDPE.