Milaha secures its biggest contract with QatarEnergy

Source: GCC Business News

The contract comes after QatarEnergy concluded the signing of contracts with five global companies for the $28.75 billion for its mega gas project.

QatarEnergy granted Milaha a QAR 1.4 billion contract on Monday to provide engineering and logistical support for local offshore oil and gas projects.

According to the Gulf state’s news agency (QNA), the duration of the contract with the Qatari maritime and logistics services company will last for five years and is subject to renewal.

Milaha’s President and Acting CEO Mohammed Abdullah Sweidan said the contract with QatarEnergy is the largest commercial transaction in the company’s history. Sweidan noted that the major deal will enhance Milaha’s position as a reliable entity for key oil and gas projects in Qatar.

The Qatar navigation company is also among the participants of QatarEnergy’s Tawteen initiative, aimed at localising the energy sector’s supply chain as part of the Qatar National Vision 2030.

In 2020, Milaha signed a five-year memorandum of understanding (MoU) with American oilfield services firm Schlumberger Limited aimed at cooperating in building projects under Tawteen’s initiatives.

Meanwhile, CNBC reported that the contract comes after QatarEnergy concluded the signing of contracts with five global companies for the $28.75 billion North Field East (NFE) Project.

The companies include Shell, ExxonMobil, ConocoPhillips, Eni, and ​​TotalEnergies, which was the first to be announced.

The NFE is one of two parts of the $28.75 billion North Field LNG expansion project that is set to boost Qatar’s production from 77 million to 110 million tonnes per annum (MTPA) by 2025.

The second part is the North Field South (NFS) project which will increase Qatar’s LNG production capacity from 110 to 126 MTPA by 2027.

QatarEnergy began looking into potential partners in 2019 for the project, with production expected to start before the end of 2025. Al-Kaabi told the press last month that the partnerships will last for 27 years, without revealing the total number of companies expected to sign for the NFE.