WASHINGTON, Feb. 18 (UPI) -- Qatar's Second Deputy Premier and Minister of Energy and Industry His Excellency Abdullah bin Hamad al-Attiyah announced that Europe is the fastest emerging major market for Qatar's liquefied natural gas (LNG) and that the European Union is expected to receive approximately 28 million tons of LNG as of 2010. Qatar is also considering supplying LNG through a pipeline to European markets. Attiyah said that Qatar and Oman have engaged in a number of LNG export projects to the EU. Qatar has developed the Qatargas-II LNG receiving terminal in Britain with a capacity to supply 15.8 million tons annually for 25 years beginning in 2008. Qatar's RasGas-II has constructed a receiving terminal in Belgium with a capacity of 3.4 million tons annually in addition to developing an offshore LNG terminal on the Italian Adriatic Coast with a capacity of 6 million tones annually. Attiyah said Europe is economically viable, adding, "We will have to consider the logistics involved in the whole process, besides dealing with issues such as tariffs and licenses. As of now we consider only LNG supply to Europe. From a Qatari perspective, having huge reserves alone is no guarantee for success when developing costly, technically complex and commercially challenging natural gas ventures. There are a number of other factors and policies that have contributed to making Qatar a success story in natural gas in short time. Qatar's commitment to innovation and adoption of world class technology is one of these. Now we are going to build the world's largest 7.8 MTA (million tons annually) trains."
The Yemen LNG Company has announced the signing of three agreements to sell liquefied natural gas. Under two of the agreements, LNG will be sold to the United States as of 2009 for a 20 period. One agreement was signed with Tractebel EGI, a subsidiary of Suez LNG companies, to purchase 2.5 million tons of LNG annually; the second was signed with France's Total for 2 million tons annually. Under the third agreement, LNG will be sold to Korea as of 2008 for a 20 year period. Korea's Kogas will purchase 1.3-2 million tons of LNG annually. Located at the Balhaf Port on the southern coast of Yemen, the country intends to begin constructing by the end of 2008 two liquefaction facilities with a capacity of 6.7 million tons of LNG annually. Yemeni Minister of Oil and Minerals Dr Rasheed Baraba said: "This agreement marks an important step for the development of natural resources of Yemen. We are pleased to be working with such a fine group of international companies whose expertise and skills can only complement Yemen's high potential in oil and gas sector." Yemen LNG Company shareholders include Yemen Gas Company with 23.10 percent, Total with 42.90 percent, Hunt Oil Company with 18 percent and two Korean companies, SK Corporation with 10 percent and Hyundai Corporation with 6 percent.
According to Russian Interior Minister Rashid Nurgaliyev, authorities arrested two Siberian oil executives on suspicion of embezzling more than $54 million in state funds. Authorities detained two brothers, Khanty-Mansiisk Oil Co. Head Alexander Pershin and Nazym Oil and Gas Exploration Co. General Director Nikolai Pershin, as part of a campaign against local officials conducting suspicious activity in the oil-rich Khanty-Mansiisk autonomous district. Nurgaliyev said: "The criminal influence on the economy is not weakening. It is felt equally in all spheres of business and all the sectors of the Russian economy." While the Khanty-Mansiisk autonomous district possesses some of western Siberia's largest oil reserves and produces more oil than any other region, the district pays more taxes than any other region but Moscow.
Iraq's Civil Defense Police Lieutenant Colonel Muhammad Husayn has announced three explosions that targeted three pipelines transporting oil and gas in the eastern part of the city on Feb. 17. Husayn said that the three pipelines are located in the Bajwan area, 15.5 miles east of Kirkuk. The first explosion targeted a gas pipeline on Feb. 16; the second and third explosion occurred on the morning of Feb. 17. Husayn noted that the explosions targeted oil and gas pipelines which connect the Dibs oil fields with those of Kirkuk.
Turkish Parliament Speaker Bulent Arinc visited Azerbaijan's Sangachal terminal on Feb. 8 to discuss the section of Baku-Tbilisi-Ceyhan oil pipeline located on Azerbaijan's territory. The pipeline is expected to be filled with technical oil in May and production is expected to begin in August. Arinc said he expects the Sangachal terminal to become the world's third largest terminal in 2008.
Russia's Kaliningrad witnessed an oil spill 3.7 miles offshore the Baltic Sea that endangered local wildlife. The spill has stretched from the Donskoye to Primorye settlements of the Svetlogorsk urban district. According to Russian Emergency Situation Ministry officials, the damage from the pollution has yet to be determined.
Closing oil prices, Feb. 18, 3 p.m. London
Brent crude oil: $46.30
West Texas intermediate crude oil: $48.51
