CNPC, Shell to explore gas in Qatar

The company announced yesterday that United Royal Dutch Shell had signed an exploration and production-sharing agreement with Qatar oil on gas in Qatar D-block. PetroChina and Shell accounted for 25% and 75% of the shares respectively, the two companies will jointly develop in Qatar Sea and land within 8089 square kilometers, near the city of La La block D.　　The agreement is valid for 30, the first phase of exploration for 5 years, during which the two companies will conduct exploration technology research and other operations. Although according to the agreement, Qatar may be buying all of the gas produced in Block D, but Dong Xiucheng, vice dean of the University of China's College of Business Administration, explained to reporters: "PetroChina can learn from the experience of foreign companies in gas exploration, and it also reflects PetroChina's bullish attitude towards natural gas."　　According to Dong Xiucheng, the exploration agreement itself is a bet, if new gas resources are to be explored, they will be distributed in accordance with the terms of the agreement, even if China will not be able to get the relevant gas supply from the project in the future, the Qatari authorities will also buy on time, which can guarantee the profits of PetroChina.　　PetroChina said it hoped to establish upstream cooperation with major resource countries such as Qatar to safeguard China's important downstream market. The project is not the first to co-operate, but shows that the existing partnership between PetroChina and Qatar Oil and Shell has been extended to the State of Qatar, which will lay a better foundation for future cooperation.