QATAR - Qatar-Dubai Investment Deal.

A $1 bn joint investment company was announced in June 2007 during a visit to Dubai by PM Hamad bin Jassem at the head of a large delegation. The deal was signed between the CEO Hussein al-Abdullah of Qatar Investment Authority (QIA), which has a large stake in J Sainsbury, and CEO of Duhai Holding Muhammad al-Gergawi. Dubai Holding, grouping companies controlled by Dubai ruler Shaikh Muhammad bin Rashid al-Maktoum, oversees Dubai International Capital, the private equity company with a stake in HSBC, and Dubai Group, the financial conglomerate which owns New York City's Essex House hotel and is an investor in Greece's Marfin Financial.

The joint firm would seek to acquire holdings in listed companies, as well as targeting investment in property and long-term ventures. It would pursue investments in the Middle East and North Africa.

Abdullah Bin Hamad Al-Attiyah: The Minister of Energy and Industry for several years and since Sept. 16, 2003, a Deputy PM, Attiyah is also in charge of the electricity and water sector. Attiyah is chairman and CEO of QP, having become the CEO in a decree issued by the emir on Nov. 20, 1996, as Dr. Jaber al-Marri was removed from this position (see his background in Vol. 61, Gas Market Trends 12).

Attiyah, close to the emir, is a hard working technocrat in tune with what Shaikh Hamad bin Khalifa wants to do in Qatar: to modernise and diversify the economy. In his efforts which have made Qatar the world's biggest exporter of LNG, Attiyah has helped ExxonMobil in the marketing of LNG on both sides of Suez.

Doha in 2005 imposed a moratorium on gas-based projects, having secured takers of more than 83m t/y of LNG and a number of local users of gas for industry or power generation. Attiyah announced this as he said QP had delayed multi-billion-dollar GTL projects from its North Field. The delays, aimed at ensuring JVs can maintain high output levels, affect GTL projects with Marathon and ConocoPhillips. None of the proposed GTL projects had been cancelled; but Qatar wanted to maintain peak levels once output targets had been attained by 2011. He added: "The concern is how to keep the 25 BCF per day [level] for 100 years". He cited concerns about a potential crunch in shipping availability and contractors. A JV proposed with Sasol/Chevron, which are already partnered with QP in GTL projects, will be delayed "at least three years". He said QP had notified the firms about the delays.

Attiyah in May 2006 said Qatar's combined liquid gas and oil output was on track to be over 6m b/doe by 2010, noting: "This is a huge quantity. Qatar would be the second...producer in the area after [Saudi] Aramco". He said there was strong world demand for LNG, with markets ranging from Europe and the US, to Indonesia and China. But he said Qatar would only embark on a second wave of expansion when it was satisfied it could raise gas production without compromising the lifespan of the North Field, the jewel in its energy crown.

Qatar is one of the contenders to host the 20th World Petroleum Congress (WPC) in 2011 and if successful would bring one of the industry's most prestigious events to the Middle East. The UK and Turkey are also bidding to host the event, held every three years and attracting thousands of delegates. Members of WPC national committees will vote at a council meeting in Uruguay late this year. Qatar sees the strength of its bid lies in the fact that Doha has such a wealth of experience in hosting large-scale events, shown with the highly successful 15th Asian Games. By 2011 the infrastructure in Doha would have been improved further with the addition of an extra 5,000 5-and 4-star hotel rooms, a world class exhibition centre which would be one of the largest and most modern in the region and delegates would arrive at Doha's new international airport. Qatar will be the No. 1 LNG exporter, capital of the GTL industry and a leading producer of petrochemicals.

Attiyah threw his weight behind Qatar's drive for 2011, saying: "It was Qatar's very great pleasure to host the WPC's Second Regional Meeting in December 2003 and its successful staging is a testament to the excellent facilities and the organisation skills we have in Doha. Since then we have also hosted LNG-14 in 2004 and the 10th International Energy Forum in April 2006. Qatar is such an attractive destination for delegates given its rapidly changing industrial landscape and the extraordinary business opportunities in our energy and industry sector. Every year there are new refining, LNG, and petrochemical plants coming on stream and many of them are the largest and most technologically advanced facilities of their kind in the world. We are also...a leader in GTL... By 2011 Doha will almost be unrecognisable to those of you who attended the Second Regional Meeting. New five star hotels and skyscrapers are rapidly rising from the sands in response to the demand from the booming economy. Nevertheless you will still find the same warm Qatari hospitality...". In its 80-year history a WPC has never been held in the Middle East.