Qatar eyes key LNG markets in Asia, Latin America
Qatar's expanding investments abroad allows the country to overcome domestic production constraints, diversify its production base and secure new sources of international demand
Qatar is expected to target a number of key LNG import growth markets in emerging Asia and Latin America, BMI Research has said in a report.
“Certain African countries are also a potential growth hotspot,” the Fitch Group company said in a report. “In particular, with Indian LNG import demand set for rapid growth over the next 10 years, it is likely to be a major target area for LNG infrastructure investment.”
In BMI’s view, Qatar’s expanding investments abroad allows the country to overcome domestic production constraints, diversify its production base and secure new sources of international demand.
Qatar is continuing to expand its presence abroad as it looks to diversify its hydrocarbon investments internationally, the report said.
Alongside this strategic international pivot, Qatar Petroleum (QP) is also reorganising its business internally, integrating the two state-owned gas producers RasGas and Qatargas. The “cost savings and efficiency gains”, BMI noted “will free up additional capital to help fund” the international expansions.
According to BMI, Qatar has acknowledged the limits of focussing purely on domestic hydrocarbons for growth. The nation’s answer to local growth limits is to increase investment abroad, stating that Qatar will look to grow international investments over the next two years in both upstream and downstream assets.