QatarEnergy Has No Intentions to Increase EU Gas Supply Next Winter

Qatar Energy CEO and Qatar's State Minister for Energy Saad al-Kaabi speak during a news conference (Reuters)
Qatar Energy CEO and Qatar's State Minister for Energy Saad al-Kaabi speak during a news conference (Reuters)
TT

QatarEnergy Has No Intentions to Increase EU Gas Supply Next Winter

Qatar Energy CEO and Qatar's State Minister for Energy Saad al-Kaabi speak during a news conference (Reuters)
Qatar Energy CEO and Qatar's State Minister for Energy Saad al-Kaabi speak during a news conference (Reuters)

QatarEnergy is working on expanding its gas production and trading operations as global demand surges and will not divert liquefied natural gas (LNG) contracted with Asian buyers to Europe this winter, announced CEO Saad al-Kaabi.

Qatar is already among the world's top LNG exporters, and several European states, facing a spike in energy prices and a fuel supply crunch, have been in talks with the Gulf Arab state to reduce their reliance on Russian energy supplies.

Kaabi, also State Minister for Energy, said that Qatar is committed to respecting its contracts, adding that "when we sign with an Asian buyer or European buyer, we stick to that agreement."

"So, the volume that will go to Europe is what has been assigned," he said, adding that as far as "taking from Asian buyers to take to Europe (that) will not happen."

Kaabi said that the state-owned QatarEnergy, which earlier this year signed deals for stakes in its LNG expansion project, aims to become the biggest LNG trader through organic growth, adding that it is already working on forming trading teams.

"We're just going to keep building that organically. So, we're not looking at acquiring a company or anything like that," he said.

Qatar is working to consolidate its position as a top supplier as Europe is racing to provide alternatives to Russian pipeline gas that comprises almost 40 percent of the continent's imports.

The supplies have declined since the Russian invasion of Ukraine in February and subsequent Western sanctions against Moscow.

The North Field expansion project, divided into two phases, includes six LNG trans that will ramp up its liquefaction capacity from 77 million tons per year to 126 million tons per year by 2027.

QatarEnergy signed agreements to sell stakes in the North Field East expansion phase with TotalEnergies, Shell, Exxon, ConocoPhillips, and Eni. It announced last month that TotalEnergies would be the first partner in the North Field South project.

"Total is a very important company for our partnership here," Kaabi said. "Internationally, we're in many places together, in exploration, and you'll see us soon going into more areas together."

Kaabi spoke after the inauguration of the al-Kharsaah solar power plant project, a joint venture between QatarEnergy, France's TotalEnergies, and Japan's Marubeni.

QatarEnergy had reserved land for future expansion of the 800 megawatt-peak plant, said Kaabi.



Gold Prices Climb on Safe-Haven Demand; US Payrolls Data in Focus

Gold bullion displayed in a store in the German city of Pforzheim (dpa)
Gold bullion displayed in a store in the German city of Pforzheim (dpa)
TT

Gold Prices Climb on Safe-Haven Demand; US Payrolls Data in Focus

Gold bullion displayed in a store in the German city of Pforzheim (dpa)
Gold bullion displayed in a store in the German city of Pforzheim (dpa)

Gold prices climbed on Friday, supported by safe-haven demand arising from the Middle East conflict, while spotlight shifted towards US payrolls report to gauge the trajectory of the Federal Reserve's policy path.
Spot gold was up 0.3% at $2,662.50 per ounce, as of 0325 GMT, after climbing to an all-time high of $2,685.42 on Sept. 26. Bullion has gained 0.2 for the week.
US gold futures edged 0.1% higher to $2,682.10.
The dollar eased 0.1%, pulling back from over a one-month high, making greenback-priced bullion less expensive for other currency holders, reported Reuters.
Geopolitical tensions, particularly concerning Israel and Iran, are supporting gold prices and unless these risks subside, prices are likely to remain near record levels, said Ajay Kedia, director at Kedia Commodities, Mumbai.
The US is discussing strikes on Iran's oil facilities as retaliation for Tehran's missile attack on Israel, President Joe Biden said, while Israel's military hit Beirut with new air strikes in its battle against Lebanese armed group Hezbollah.
Bullion is considered a safe investment during times of political and financial uncertainty, and thrives in a low-rate environment.
The US nonfarm payroll data is due at 1230 GMT. New York Fed President John Williams and Chicago Fed President Austan are also scheduled to speak later in the day.
If the NFP report comes in strong, it will be positive for the dollar and then gold prices will see some profit-booking, Kedia added.
Traders see a 69% chance of a 25-basis-point Fed rate cut in November, according to CME FedWatch Tool.
BMI said in a note it expects gold prices to trade within the range of $2,500 to $2,800 in the coming months.
Spot silver rose 0.4% to $32.17 per ounce and has gained about 1.8% so far this week.
Platinum climbed 1.1% to $1,001.79 and palladium advanced 1.4% to $1,013.46.