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OIL AND G^JiMDUSTRY IN QATAR

QGPCHeadquartersP.O. Box 3212Doha - State of QatarTel. 491491 - Tlx. 4343Fax. 831125

Published By: The Public Relations Department, 1992.Qatar General Petroleum Corporation

In the name of God,

Most Merciful, Most Compassionate

Qatar General Petroleum Corporation

PROFILE

QGPC is a distintictive landmark inthe economic and social developmentin Qatar. The Corporation was es-tablished in 1974, following theGovernment's decision to takeoverOnshore and Offshore Oil and Gasoperations in the country. Since itsinception, QGPC has acquired andmanaged the State's interests in anumber of local oil and gas-basedindstries and other investmentsabroad.

QGPC is responsible for all phasesof oil and. gas industry, includingexploration* and drilling for oil andnatural gas and the production, refin-ing, transport and storage of thesesubstances, and any of their deriva-tives and by-products. The Corpor-ation is also involved in the distri-bution, sale and export of theseproducts.

His Highness Sheikh Khalifa Bin Hamad Al-Thani

Emir of the State of Qatar

His Highness Sheikh Hamad Bin Khalifa Al-ThaniHeir Apparent, Minister of Defence and Commander in Chief of the Armed Forces

His Excellency Sheikh Abdulaziz Bin Khalifa Al-Thani

Minister of Finance and Petroleum and Chairman of the Board of Directors,

Qatar General Petroleum Corporation

QGPC ROLE

This brochure gives an up-to-dateaccount of the oil and gus industry inQatar and the role of the QatarGeneral Petroleum Corporation indeveloping this vital sertor

Since its inception, QGPC has beenguided by two complementary andinterlinked objectives. These are thedevelopment of oil and gas oper-ations and related downstream in-dustries, and the training and devel-opment of Qatari manpower involvedin such activities. A great deal ofprogress has been achieved underthe enlightened leadership of HH theEmir Sheikh Khalifa Bin Hamad Al-Thani and HH the Heir ApparentSheikh Hamad Bin Khalifa Al-Thani.The collective efforts of QGPC staffand employees have contributed tothe realisation of the present positiveand bright picture of the national oilindustry.

In less than two decades, numou-rous impressive developments havetaken place. These include : the re-alisation of full ownership and com-plete control by the State over oil andgas operations and related indus-tries, the establishment of QGPC, the

development of exploration and pro-duction activit ies, the full util ization ofnatural gas in industry and domesticseclurs and the construction of down-stream industries in U im Said in-clud.Mij thi .- •;fi• = ory. th natural yasliquids pin; ! , Mid the erti l iser andpetrochemical compU es. Such im-portant a 'J i ie. emen; have btiencrowned •..•ah the (lev opment of theNorth f IP • n . . ,i;;ves u ^on-associated g is

Phase I of the North Field Develop-ment Project was completed in early1991 and inan-'i'"-^o,< > !-' '| !ho Emiron 3rd September of that year. ThisPhase provides gas for domestic andindustrial purposes. The futurephases of the NFDP wil! provide for :the production of gas for export asLNG or pipeline gas, the constructionof various gas-based industries, thepreparation of a new industrial areaat R as Laf fan and the expansion of theUmm Said Industrial Area.

On the human aspect of the indus-try. QGPC has created wide-rangingopportunities for training Qatari na-tionals engaged in this sector. Pastefforts and the recent Five YearTraining and Development Plans car-ried out by QGPC have led to postingqualified Qataris in leading positionsin both technical and administrativefields. The planned and structuredQatarization process will be furtherenhanced in the coming years.

With this in mind, QGPC has ac-quired the means, the experience andthe confidence to attain moreachievements in its long and suc-cessful march which contributes tothe national economy and the full-scale development in Qatar.

DR. JABER A. AL-MARRIManaging Director

Qatar (ivneral Petroleum Corporation— 9 —

BACKGROUND

• f/rsr o/7production camefrom the onshoreDukhan Field in1949 and fromOffshore Fieldsin 1965.

pearl-diving

Before the discovery of oil, pearlingand fishing represented Qatar's onlysource of wealth. There was a timewhen Qatari pearling dhows made up athird of the entire Gulf fleet. But thedevelopment of cultured pearls byJapan in the 1930's sharply depressedGulf pearling trade.

As a result, the Qatari economyexperienced difficulties, but fortunate-ly, hard days did not last for long. Oilwas discovered little after the declineof the pearl market.

Discovery of Oil in Qatar

Onshore Oil - Dukhan

In 1935, a concession covering thewhole Qatari peninsula was granted tothe Anglo-Persian Company. A sub-sequent geological survey in 1937-1938 confirmed evidence of a structurerunning along the west coast of Qatar.Production rights were transferred to"Petroleum Development QatarLimited" which in turn formed "QatarPetroleum Company Limited (QPC)"which ran Onshore operations until

— 10 —

19/6 Qatar s first historic well DukhanNo. i was dri l led in 1939/1940 and oilwas confirmed at a depth of 5595 feet.

Further development was delayedby the Second World War. It was notuntil 1947 that work was resumed. Thefirst shipment of Qatar Onshore oil wasexported via Umm Said Terminal on31st December, 1949.

Offshore Oil

As for Offshore oil a consessioncovering the entire continental shelfwas granted in 1952 to the ShellCompany of the Netherlands. Rightswere subsequently transferred to theShell Compan, of Qatar Limited (SCQ)which ran the Offshore operations until1977.

The first Offshore oil well Idd El-Sharqi was discovered in 1960. Thefirst shipment of Qatar's Marine Crudewas exported on 1st February, 1964.

Participation AndTakeover Agreements

A new era in Qatar's history beganwhen HH the Emir, Sheikh Khalifa BinHamad Al-Thani assumed power on22nd February 1972. HH the Emiradopted a national oil policy aiming atrealising the national aspirations andmaximising revenues from the oil andgas sectors through excercising fullownership and complete control overhydrocarbon resources and relatedoperations. The State's decision in thisrespect was gradually implementedthrough the conclusion of participationand takeover agreements with the twoforeign oil companies: Qatar Pet-

VII offshore drilling rij;.

roleum Company (QPC) and ShellCompany of Qatar (SCQ). In 1973, thegovernment acquired 25% ownershipof both QPC and SCQ. In February1974, the Qatari Government signedand ratified agreements with QPC andSCQ whereby it acquired a 60% sharein the rights and operations of bothcompanies. All remaining shares ofQPC and SCQ reverted to the Statefollowing the conclusion of takeoveragreements in 1976 and 1977 respec-tively. Qatar Petroleum ProducingAuthority (QPPA) was established in1976 to overtake all operations previ-ously run by the two foreign oilcompanies.

• By 1977, theState of Qatarachieved completecontrol andfull ownershipof the nationalhydrocarbonresources andrelatedoperations.

-i -i

Q G P C OIL AND GAS OPERATIONS

Establishment of QGPC

As a result of these positive develop-

ments in Qatar's oil industry, Qatar

General Petroleum Corporation

(QGPC) was established in 1974 as a

national oil company responsible for

ownership and management of oil and

gas operations and the State's inter-

ests both in Qatar and abroad. The

State's shares in oil operations and oil

and gas related ventures in Qatar and

abroad reverted to QGPC.

Qatar Petroleum Producing Author-

ity (QPPA) which was established in

1976 to overtake all operations previ-

ously run by QPC & SCQ was merged

withQGPCinJuly 1980. Since then and

until 1991. responsibility for operations

came under two QGPC Divisions:

Onshore Operations and Offshore

Operations. Both divisions are now

being amalgamated and renamed Oil

& Gas Operations reporting to QGPC

Headquarters.

QGPC Objectives

Decree Law No. 10 of 1974 concern-

ing the establishment of QGPC defines

the Corporation's objectives as

follows :

"The objectives of this Corporation

shall be to engage in all phases of oil

industry in Qatar and abroad, including

exploration and drilling for oil, natural

gas and other hydrocarbon sub-

stances, production, refining, trans-

port and storage of the aforementioned

substances, and any of their deriva-

tives and by-products, as well as

trading in, distribution, sale and export

of these substances.

The Corporation may undertake all

action that would lead to the

achievement of its aforementioned

objectives".

(Article (4) )

OIL & GAS RESOURCES Oil

• Producing Fields - Onshore

QGPC produces Onshore oil from

Dukhan Field which is a single large

field consisting of 4 major hydrocarbon

reservoirs, three oil bearing and one

containing non - associated gas. It

takes the form of a long narrow

anticline structure.

At the southern end of Dukhan

structure lies Diab Oil Field which is

under development at present.

• Quality

The oil exported from the Umm Said

Terminal is of a high quality, with an

average gravity of 40.9 API and a 1.1%

sulphur content.

• Offshore

QGPC produces oil from Offshore

fields within the territorial waters of

Qatar. There are 3 fields: Idd El-

Sharqi, Maydan Mahzam and Bui

Hanine, located some 85-115 kms.

from the capital Doha. Halul Island is

the operations' storage and export

facility for Offshore oil.

Al-Bunduq is another Offshore oil

field, located on the marine boundary

between Qatar and the United Arab

Emirates; it is jointly exploited by the

two States.

— 12 —

AREAS SITUATION MAP

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— 13 —

Q G P C OIL AND GAS OPERATIONS

9 Qatari oilpossesses nearlyconform withOPEC policiesthat aim atmaintainingworld oilmarket stability.

# Ongoingexploration andproductionactivities basedon sharing-typeof agreements.

0 Naturalgas accounts fornearly 90% ofQatar's primaryenergyconsumption.

• Quality

The oil exported from Halul terminalis in the high quality Arabian cruderange and is a blend of the threecrudes from the Idd El-Shargi. May-dan Mahzam and Bui Hanine fields,whose combined average gravity is36.3 AP1. It is salt-free and exportedclean of basic sediment and water-with a low sulphur content of 1.4% wt.

Al-Bunduqcrude is similar to that ofMaydan Mahzam. It has an averageAPI gravity of approximately 36.37"and contains 1.4 per cent sulphur.

EXPLORATION

QGPC has continued to optimize itsoil operations and to intensity explor-ation activities in search for more oil.QGPC shall continue to implementworks and procedures for proper re-servoir management and optimumhydrocarbon recovery from existingoperations as well as the development

of known oil accumulations in thoseareas. For the longer term, QGPC isgoing ahead with the 1985 plan forexploration of all Qatari lands and

waters.

OJL EXPORTS

QGPC exports Onshore and Off-shore crude according to the State'snational policies and in line with OPECdecisions. Over the past period,QGPC has developed its export andstorage facilities at Umm Said terminaland Halul Island.

NATURAL GAS

From being solely an oil producer,QGPC has become a key producer ofgas. The Corporation now plays a keyrole in the supply and distribution ofgas as fuel or feedstock to the maingas-based industries and to theState's power generation and waterdesalination plants.

Associated gas is produced fromOnshore and Offshore oil fields andnon-associated gas from the Khuffgas reservoir in Dukhan Field areafrom 1978 until 1991, mainly to meet thecountry's ever growing requirementsfor electricity and desalinated water,for electricity and desalinated water.

— 14 —One of the three offshore production stations.

i Gas liquid pipeline

Jl _ _ E»'Sting

J — . Under Construction

> Gas pipeline

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Gas. New projects based on the NF gaswill be implemented in the near future.

THE NORTH FIELD

The North Field, discovered off-shore to the north east of Qatar in 1971,is possibly the largest gas field in theworld. It covers an area of approxi-mately 6000 square kilometers. Thefield's proven reserves of non-associated gas exceed 250 trillionstandard cubic feet (TCF), while totalreserves are put at 500 TCF.

The massive reserves of non-associated gas in the north field willdefinitely meet Qatar's gas futurerequirements.

It is to be noted that natural gasconsumption in Qatar represents near-ly 90 per cent of the country's totalconsumption of primary energy.

The utilization of associated naturalgas from Dukhan goes back to 1963when it was used to fuel powergeneration stations. Thus Qatar hasbeen a pioneer in the utilization ofassociated gas, instead of flaring it.Since then, Qatar has been keen tointensify its efforts to utilise natural gasand indeed has been successful in thisrespect. Many gas-based industrieshave been constructed including: Ce-ment (1969), Fertilisers (1973), Iron andSteel (1978), Petrochemicals (1980).Furthermore, exports of natural gasliquids recovered from Onshore andOffshore associated gas commencedin 1980 with the commissioning of thetwo NGL plants.

With the implementation of the NorthField Project, the economy will bebased on two strong supports : Oil and

0 Qatarposses nearly6% of theworld's provengas reserves, allconcentrated inone huge gasaccumultionknown as theNorth Gas Field.

# The NorthField's provenreserves exceed25O trillion cubicfeet of gas(equivalent toabout 45 billionbarrels of oil.

0 Naturalgas would forma firm supportto Qatar'seconomy,possiblysurpassing therole played sofar by oil.

— 15 —

DOWNSTREAMINDUSTRIES REFINING

THE NATIONAL OIL DISTRIBUTION COMPANY(NODCO)

• NODCO hasbeen producinglead-free premiumgasoline forlocal marketand exportssince 1984.The Companyis to producelead-free supergasoline inmid 1992, thuscontributing tothe protection ofthe environmentand yieldingadditional returns.Qatar comes firstamong Arabcountries inproducing leadfree gasoline.

0 NODCOis conductingseveral studies onthe expansion ofUmm Said Refinery,a general strategyfor the country'srefining industryand the optimumutilization ofcrude oil andNorth Fieldcondensates.

Storage and Distribution Depot at Abu Hamour in Doha.

Establishment: 1968.

Ownership: 100% owned by QGPC.

Operations: NODCO operates theUmm Said Refinery located at UmmSaid Industrial Area. Production com-menced in 1974 from the first 12,000BPSD refinery and in 1983 from thesecond 50,000 BPSD refinery.

Products & Design Capacity : Bothreffneries are connected and operatedas a single unit with a total productioncapacity of 62.000 barrels per streamday (BPSD). NODCO produces:Butagas, Premium and Super Gas-

600.

ohne. Jet Fuel Kerosene, Diesel andFuel Oil.Exports & Marketing: Exports inc-lude white products and heavy fuel oil.Marketing is carried out by QGPC.Feedstock : Crude oil produced fromDukhan is used for processing.

Total Number of Employees:( Refining and Distribution ).Main Facilities:— Umm Said Refinery.

— Export/Import Facilities atUmm Said Berth No. 6.

— Abu Hamour Storage &Distribution Depot in Doha.

— 2 Isomarization Units. (Underconstruction).

— 16-

QATAR FERTILISER COMPANY (QAFCO)Establishment: 1969.

Ownership :— QGPC

— Norsk Hydro75%

25%

Operations: QAFCO manages andoperates the Fertiliser Complexloacted at Umm Said Industrial Area.Production of ammonia and urea com-menced in 1973 from QAFCO 1 and in1979 from QAFCO 2.

Production & Design Capacity(Tonnes/Year) :— Ammonia 1800

— Urea 2000

Exports & Marketing: Ammoniaand Urea are marketed worldwide.Urea is also sold to the local market ata subsidised price.

Feedstock: Natural Gas.

Total Number of Employees: 800

Main Facilities: QAFCO comprisestwo ammonia and two urea -producingunits in addition to support and ser-vices facilities.

Expansionof the Fertilizerscomplex todouble itscapacity is duein 1995.

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I he Fertilisers Complex at Umm Said, producing ammonia and urea

— 17 —

TROC HEMICALS

QATAR PETROCHEMICAL COMPANY (QAPCO)

Expansionof thepetrochemicalcomplex todouble itscapacity is duein 1995.

The Petrochemical Complex producing Ethylene, Low Density Polyethylene and Sulphur.

Establishment: 1974.Ownership :

— QGPC

— Enichem

— Atochem

80%

10%

10%

Operations: QAPCO manages andoperates the Petrochemical Complexlocated at Umm Said Industrial Area.Production commenced in 1980.Production & Design Capacity(Metr ic Tonnes/Year) :— Ethylene 280,000— Low-Density

Polyethylene (LDPE) 140,000

— Sulphur 46,000

Exports & Marketing :

— Ethylene: Worldwide.

— LDPE : Middle East, Far East &South East Asia,

— Sulphur: The Gulf area, India &Pakistan.

Feedstock: Ethane-rich gas antstripped gas provided by the NGlPlant.

Total Number of Employees: 60(

— 18 —

NATURAL CAS PROCESSING

NGL PLANT

Commissioned : 1980.

Ownership: 100% owned by QGPC.

Operat ions: NGL 2 processesOnshore and Offshore associated gas.The plant provides raw material forfertilisers, petrochemicals and otherindustries in addition to fuel for waterdesalination and power generationstations. NGL 1 has been modified toreceive and fractionate NGLs fromNorth Field,Phase 1.

NGL 2: Products and DesignCapacity (Metric Tonnes PerDay):— Ethane-rich gas 2495

— Propane 2370

— Butane 1750

— Condensate 1450

Exports & Marketing : Natural gasliquids are marketed by QGPC.

Main Facilities: NGL 1, NGL 2 andother support facilities.

Total Number of Employees: 300.

# Naturalgas hascontributed tothe country'seconomicdevelopmentsince 196O's.It has beenused as fuelfor powergeneration/waterdesalination andas fuel and/orfeedstock forvariousindustries.

Propane storage tanks at the NGL plant at Umm Said

— 19 —

0 Qatar'sdomestic gasrequirementsin the 1 990'swill be metfrom the NorthField GasDevelopmentProject - Stage I

NATl'RAL GAS PROCESSING

NORTH FIELD DEVELOPMENT PHASE 1

Offshore Installations-North Field Project, Phase 1.

Launched: Mid 1987.

Completed : Early 1991.

Inaugurated By : HH the Emir on 3rdSeptember 1991.

Ownership: 100% owned by QGPC.

Operations: Gas is produced fromthe North Field, transported to UmmSaid via pipelines and processed in theNGL 3 to be utilised in industry and fordomestic consumption. Surplus gas isreinjected in Dukhan as strategicreserves.

Products & Design Capacity:Phase 1 produces 750 million standard

cubic feet per day (MMSCFD) of leangas and over 50,000 b/d of natural gasliquids and condensates for export.

Exports & Marketing : By QGPC.

Main Facilities:Offshore Production Station which inc-ludes 8 platforms. Onshore facilitiesinclude the NGL processing plant.

Pipeline network transports NorthField gas from the offshore ProductionStation to Umm Said and delivers thesurplus lean gas from Umm Said to theinjection station at Fahahil.

LIQUEFIED NATURAL GAS

QATAR LIQUEFIED GAS COMPANY (QATARGAS)

Establishment: 1984.

Ownership :— QGPC

— Total

— Marubeni Corporation

— Mitsui & Co. Ltd.

70%

10%

10%

10%

Objectives: QATARGAS was set upto produce, market and export LNGfrom Qatar's North Field. Production isscheduled to commence in 1997. InMay 1992. QATARGAS signed a Salesand Purchase Agreement with ChubuElectric Power Company for the sale ofQatan LNG to Chubu starting in 1997.

Qatar is to export LNG to Japan and Italy in 1997

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• North Fieldreservesreassurepoteatialimporters ofsecure and longterm supply ofgas.

• TheQATARGAS LNGplant will be thefirst plant at RasLaffan; it isscheduled forcompletion in1997.

Qatar will exportLNG to Italyaccording toan agreementsigned with theItalian Company(SNAM) and theUS companyNelson Bunker Hum

— 21 —

GAS UTILIZATION PLANS

• Thedevelopment ofthe North Fieldand theutilization of itsgas reservesevolves around:exporting gas -the utilization ofgas as industrialfuel and rawmaterial toproducevalue-addedproducts -processingand/orexporting gasliquids andconvertinggas intotransportableliquid products

FUTURE PLANS FORGAS UTILIZATION AIM AT:

a — The export of gas as LNG or viapipelines.

b — The utilization of gas as industrialfuel and/or raw material to pro-duce manufactured value-addedproducts such as Chemicals, Pet-rochemicals and Minerals.

QGPC has also prepared a master

plan for gas utilization based on:

1 — Optimising the use of the existingindustrial area of Umm Said toaccommodate additional indus-tries in the near future.

2 — The preparation of a new in-dustrial city at Ras Laffan innorthern Qatar including a modernport infrastructure, utilities andcommunity.

An artist's impression of Umm Said expansion plans

A drawing of Ras Laffan development project. The area would be a new industrial centreaccommodating gas-based industries, a new port and community.

— 22 —

METHANOL & MTBE

QATAR FUEL ADDITIVES COMPANY(QAFAC)

Establishment: 1991

Ownership :

- QGPC

Internationa Octane Ltd.(Canada)

Total (France)

5 0 %

2 5 %

2 5 %

Objectives: Production and market-ing of Methanol & MTBE which in-creases the octane rating in refinedpetroleum products.

QATAR CLEAN ENERGY COMPANY

(QACENCO)

QAFAC

Two 660,000 tpaMethanol plantsand two500,000 tpaMTBE plantsdue to comeon stream in1994/1995.

QGPC and Penspen International Company in future.

QACENCO's objective is the produc-

tion and export of Methanol and MTBE.

Company Limited signed the mem-orandun and articles of associationestablishing QACENCO on 22 April1992. Other partners would join the

INVESTMENTS

ARAB JOINT VENTURES

QGPC participates in the following Arab Joint Ventures :

Arab Shipbuilding & Repair Yard Co. (ASRY- Bahrain) (18.8%).

Arab Marit ime Petroleum Transport Co. (AMPTC - Kuwait) (13.6%).

Arab Petroleum Investments Corp. (APICORP - Saudi Arabia) (10%).

Arab Petroleum Services Co. (APSC - Libya) (10%).

Arab Petroleum Pipelines Co. (SUM ED - Egypt) (5%).

— 23 —

HUMANRESOURCES

QGPCprovides youngQataris withwide - rangingtrainingopp ortun itie sto enable themto undertakenew responsi-bilities in theoil and gasindustry.

TRAINING & DEVELOPMENT

QGPC gives top priority to thetraining and development of Qatarinationals. So far, substantial progresshas been achieved in this respect.Today, qualified Qataris occupy lead-ing administrative and technical po-sitions in QGPC and its subsidiaries.

OBJECTIVES

Training and Development pro-

grammes aim at achieving the follow-ing objectives:

1. To prepare secondary schoolgraduates for appointment in tech-nical jobs in QGPC.

2. To prepare University graduates tooccupy suitable jobs pertaining totheir qualifications.

3. To improve the efficiency andproductivity of existing employeesthrough various means:

— 24 —

- - Improving their skills in their

jobs.

— Upgrading and updating their

knowledge.

— Adapting skills acquired

through formal education to the

needs of modern industry.

4. To prepare Qatari employees with

recognised potential for advance-

ment for promotion to higher

positions.

5. To achieve cost effectiveness in

QGPC training activities.

ORGANIZATION

In 1984, all training activities were

centralized under one Training and

Development Department (TDD) in

QGPC Headquarters. The Training

Centre (TC) of the TDD conducts

training programmes to meet increas-

ing demand for a wide variety of

administrative and technical skills.

The Vocational Training Section of the

TC is responsible for technical training

of secondary school graduates and

coordinates On-the-Job Training

(OJT) with concerned departments of

QGPC and its subsidiaries. It compr-

ises units for Job Skills, General Skills,

English Language and (OJT).

The Professional Training Section of

the (TC) is responsible for local and

overseas courses. The technical pro-

gramme enables successful trainees

to obtain BTEC certificates from the

U.K. The University preparation pro-

gramme enables secondary school

graduates of high potential to join US

Universities for specializing in en-

gineering fields.

oc

HUMAN RESOURCES

FIVE YEAR TRAINING PLANS

To expedite the process of Qatariz-

ation, QGPC set up a committee in 1984

with the task of fomulating a Five Year

Training and Development Plan. The

Five Year Plan was endorsed by the

Board of Directors and consequently,

the central Training and Development

Dept. (TDD) was established. Qatari

Development Units were established

to implement the Five Year Plan in

conjunction with TDD. This Five Year

Plan was further revised in 1987. Each

plan recommended particular objec-

tives, targets and achievement

strategies.

Emphasis was placed on maximiz-

ing and utilizing the Qatari manpower

supply to meet recruitment, training

and development demands. Initial

overall Qatarization targets were set,

for Senior Staff (SS) — 70%; and

Employee Level Staff (ELS) — 39%.

These were subsequently revised in

1987 to 58% for Senior Staff and 36%

for Employee Level Staff.

1991 — 1995

The 1992-1995 Plan sets recom-

mendations for achieving Qatarization

goals. It starts from the base of

achievements of the previous two

plans. It states objectives which must

be implemented if Qatarization goals

are to be achieved. A Key part of the

Qatarization process is Career Plann-

ing and Development. Methodologies

and criteria have been agreed to

ensure that each organizations man-

agement becomes accountable for

implementation. Statistical inform-

ation relating to supply and demand of

Qatari Manpower is available for moni-

toring implementation of management

decisions using the Corporate Man-

agement Qatari Development Commit-

tee (CMQDC) in keeping with the

Training and Development Policy over

the next 5 years.

The development of QGPC's human

resources is a complex process. QGPC

will maintain and fulfil its commitment

to Qatarize as quickly as possible in a

planned and structured manner. This

investment in training and develop-

ment will place Qatari human re-

sources to assume leading roles in

managing the Government's Hydro-

Carbon industries.

— 26 —

INFORMATIOW &COMPUTER SERVICES •

QGPC uses the leading edge tech-nology in this field. The Informationand Computing Services Department(ICS) provides services to QGPC andits subsidiaries. The wide data networkcovers Doha, Dukhan, Umm Said,Halul Island, Production Stations andthe North Gas Field. Information sy-stems cover the various aspects of oiland gas industry, providing QGPC

decision makers with the right inform-ation at the right time.

Terminals and microcomputershave been installed in many of theCorporation's Departments and linkedto the Computer Centre to assist in theclassification, storage, and effectiverecovery of data. Qualified Qataris aregiven excellent opportunities to con-tribute to the computer function, es-pecially in relation to operation, analy-sis, programming, planning, engineer-ing and maintenance.

— 27 —

'Safety First" is the motto of QGPC

operators and operations.

The Corporation gives special care

and attention to the safety of em-

ployees and plants. A number of safety

courses are conducted on a reguttfr

basis, including courses on accident

prevention and fire fighting.

— 28 —

MEDICAL SERVICES

The Corporation's medical centresin Doha, Dukhan and Umm Said offermedical care to all QGPC personneland their families. These centres usemodern medical equipment and com-puterised laboratory facilities.

SPORTS &RECREATIONAL FACILITIES

QGPC has established a number ofclubs in Doha, Umm Said and Dukhanwhich are open to employees and theirfamilies.

Those clubs include the Falcon Club,the Fitness Centre, Al Ghazal Club,Ras Abu Abboud Boat and Beach Cluband Dukhan Club.

QGPC MedicalCentres inDoha, Dukhan,Umm Said andother worklocationsprovidemedicalcare foremployees andtheir families.

QGPC Clubshave modernrecreational,social andsportsfacilities.

QATAR AND PETROLEUM ORGANIZATIONS

ORGANIZATION OF THE PETROLEUM EXPORTING COUNTRIES

OPEC-The Organization of Pet-roleum Exporting Countries-is a per-manent, intergovernmental Organiz-ation, created at the Baghdad Confer-ence of September 10-14,1960, by Iran,Iraq, Kuwait, Saudi Arabia and Ven-ezuela. Its objective is to co-ordinateand unify petroleum policies amongMember Countries, in order to securefair and stable prices for petroleumproducers; an efficient, economic andregular supply of petroleum to con-suming nations and a fair return oncapital to those investing in theindustry.

The Organization comprises the fiveFounding Members, plus eight otherFull Members: Qatar (joined in 1961);Indonesia (1962); SP Libyan AJ (1962)-

United Arab Emirates (Abu Dhabi,1967); Algeria (1969); Nigeria (1971);Ecuador (1973); and Gabon (1975).

QATAR AND OPEC

The State of Qatar joined (OPEC) in1961, one year after the Organizationhad been founded. Qatar is an activemember in OPEC and has been invol-ved in the various transformations ofthe oil industry. Qatar has contributedto the oil market stabilisation effortsthrough its adherence to OPEC's sug-gested production ceilings. The De-cember 1976 meeting of OPEC Mini-sters was hosted by Qatar.

Moreover, Qatar has been genorousto OPEC fund through its significantfinancial contributions.

— 30 —

ORGANIZATION OF THE ARAB PETROLEUM EXPORTING COUNTRIES

The Organization of the Arab Pet-

roleum Exporting Countries (OAPEC)

was founded by an agreement signed

in Beirut by the Kingdom of Saudi

Arabia. Kuwait and Libya. Qatar was

first to join OAPEC in 1970. Other

members are: U.A.E. Bahrain, Egypt,

Syria, Algeria and Iraq.

QATAR AND OAPEC

The State of Qatar has positively

contributed to the activities of OAPEC

and participated in the various Arab

Joint Ventures sponsored by the

Oragnization. This comes in line with

Qatar's Policy of cooperation and

coordination with other Arab mem-

bers. The primary objective of OAPEC

is to enhance cooperation among

members in the fields of oil and gas

industry.

'O&CONJ) MrXlNftK UN TMfUTILIZATION OF NATUIML 6(14 I~THC H « K

Qatar host the 2nd Arab Energy Conference in 1982 and the 2nd Natural Gas Seminar in 1989

— 31 —

MAJOR EVENTS ANDDEVELOPMENTS IN THEOIL AND GAS SECTORS

Chronology

1949: First oil production and ex-ports from Qatar's Dukhan field.

1961 : Qatar joins OPEC.

1963: First utilisation of Qatar'sassociated gas in gas-driven electric-ity generating plant commissioned atRas Abu Abboud.

1971 : North Field Gas depositsdiscovered.

1973: Qatar Fertilizer Plant(QAFCO 1) came on stream; (QAFCO 2)was commissioned in 1979. Each unitproduces ammonia and urea.

1974: Qatar General PetroleumCorporation established.

1976: All remaining rights of theQatar Petroleum Company Ltd., rever-ted to QGPC by the Emiri Decree No. 99of 1976. The takeover agreement wassigned on 16.9.1976.

1977: All remaining rights of theShell Company of Qatar reverted toQGPC by the Emiri Decree No. 10 of1977. The Takeover Agreement wassigned on 9.2.1977.

1981 : The NGL plant and the Petro-chemical Complex at Umm Saidinaugurated.

1984: Qatar Liquefied Gas Com-pany established with 70% QGPCparticipation.

1984: The Umm Said 50,000 BPSDRefinery inaugurated.

1987 : The implementation of Phase1 of the North Field Developmentproject began.

1989: The Petroleum ProductsExport and Distribution facilities at AbuHamour in Doha inaugurated.

1991 : The inauguration of the NorthField Project, Phase 1 on 3rdSeptember.

1991 : Ras Laffan Port Design &Construction Contract signed on 7thSeptember.

1991 : A Sale and Purchase Agree-ment for the sale of 4 million tons peryear of Liquefied Natural Gas (LNG) byQatar Liquefied Gas Co. (QATARGAS)to Chubu Electric Power Companystarting 1997, was signed in Doha, onMay 13.

— 32 —

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