Qatar’s state-owned oil & gas giant QatarEnergy has signed a long-term condensate supply agreement with the Singapore-based Shell International Eastern Trading Company (SIETCO), a wholly-owned subsidiary of the UK-headquartered energy major Shell.
Under the agreement, signed by Saad Sherida Al-Kaabi , Qatar’s Minister of State for Energy Affairs, and the President and CEO of QatarEnergy, and Wael Sawan , the CEO of Shell, the Qatari player is set to deliver up to 285 million barrels of condensate to Shell over 25 years, starting in July 2025.
“We are delighted to sign QatarEnergy’s first 25-year condensate sales agreement, the largest and longest duration condensate agreement to date . This agreement is important for being signed with our strategic partner, Shell, with whom we have recently signed a 20-year naphtha sales agreement. These long-term agreements provide stability and certainty, and helps deliver more value to our customer Shell,” said Al-Kaabi.
As stated by QatarEnergy, the two majors share various investments and partnerships in the energy industry in Qatar and globally, including QatarEnergy LNG projects, the Pearl GTL Plant, and other joint investments.
On the other side of the globe, Shell recently decided to withdraw from its operated offshore assets in Colombia . While the UK giant had not issued an official statement regarding its decision, its former Colombian partner, Ecopetrol, claims reasons related to strategy and global portfolio management are behind Shell’s decision.