/ 8 December 2003

Sasol launches gas-to-liquid venture in Qatar

South African oil and chemicals group Sasol officially launched the world’s first commercial gas-to-liquid (GTL) venture outside South Africa at Ras Laffan in the State of Qatar on the weekend.

“The laying of the foundation stone for the Oryx GTL plant at Ras Laffan in Qatar is not only for this single plant, but for a whole new global industry — the GTL industry. Wherever there are abundant reserves of natural gas and governments with the drive and ability to monetise these reserves, customers will benefit from the widest range of environment-friendly energy products, including an ultra-low-emissions GTL diesel,” said Sasol chief executive Pieter Cox.

Addressing Sheik Hamad Bin Khalifa Al-Thani, to Emir of the State of Qatar and a host of dignitaries including the South African Ministers of Trade and Industry and Minerals and Energy at the site of the new plant, Cox said GTL products will find a vibrant market and the future of fuels will be ever cleaner and more efficient.

“The advent of this new industry with our partner, Sasol Synfuels International, marks Qatar’s commitment to become the GTL capital of the world,” said Abdullah Bin Hamad Al-Attiyah, Second Deputy Premier and Minister of Energy and Industry of Qatar.

“The enormous reserves in the North Field constitute the pillar of the economy for our country, and this joint venture project marks a significant milestone for our effort to achieve our objectives in diversifying our country’s gas industry to include GTL, LNG, gas via pipelines and usage of gas as a feedstock for the petrochemical industries,” he said.

Oryx will be using around 330-million cubic feet per day of lean gas from Qatar’s North Gas Field as feedstock to produce 34 000 barrels per day of liquids, comprising 24 000 b/d of diesel, 9 000 b/d of naphtha and 1 000 b/d of liquefied petroleum gas (LPG).

The plant will be constructed at a cost of about $900-million and production is set to commence by the end of 2005.

Qatar has made no secret of its desire to be pre-eminent in the global GTL industry and the Oryx GTL initiative combines ambition with achievement in equal measure, Cox said.

“Sasol, with its unparalleled experience in the production and marketing of Fischer-Tropsch-based fuels, is proud to partner with Qatar Petroleum. We are a formidable team,” Cox added.

“We are confident that the Oryx GTL plant will be the first of many GTL facilities, both in Qatar and around the world. But, no matter how many GTL plants are built and no matter how big those facilities may grow to be, the pioneering Oryx GTL plant will have led the way,” he said. – I-Net Bridge