Qatargas attends 24th World Gas Conference in Argentina

In his speech titled "International LNG Markets: A Global Perspective" Mr. Al Suwaidi outlined the future expansion strategy of Qatargas explaining that projects in the pipeline through 2012 will not be followed by many new LNG projects until 2015 or later and the market for LNG could become very tight again.

"As markets become tight, Qatar will continue to deliver LNG where it is needed most. Qatar will use Q-Flex and Q-Max ships to deliver LNG to all global markets, while helping to balance volatile regional demand for natural gas. This tight market will put responsibility on existing projects to squeeze the most LNG out of what we have," he said.

Mr. Al Suwaidi also empahsized awareness about the shrinking number of professionals in the liquefied natural gas (LNG) industry to staff future requirements that will follow the world economy's imminent recovery. He noted that many of the LNG industry's most talented and experienced people are approaching retirement age, while at the same time, companies are looking for ways to reduce spending and capital projects are being deferred

"These and other factors can lead to a shrinking number of professionals in LNG. At the same time, the young men and women, making decisions about their career paths will be influenced by what they are seeing today and possibly not select university studies that would prepare them for careers in our industry," he added.

Mr. Al Suwaidi explaineded that the global LNG industry is poised for growth over the next 3-4 years. "This LNG will meet the natural gas markets' requirements to replace declining gas production, bring diversity of supply to importing countries, and substitute for coal and liquid fuels in power generation as a more economic and environmentally friendly fuel," he said.

He noted that though natural gas demand has been affected by the global economic downturn, the global consumption of LNG is growing. By not being constrained by pipelines to a single market, LNG has adapted to the market fundamentals.

For example, though LNG imports to Japan have dropped, China and India are pursuing spot LNG to reduce the cost of generating power and fueling their industries.

European LNG imports are up more than 15% this year, while imports of pipeline gas have fallen. The U.S. LNG imports are 45% higher this year, while more expensive gas is left in the ground.

This dynamic interaction of the markets benefits both the energy consumers and the LNG producers as LNG is delivered where it is needed the most.

"Short term prices are the signals from the markets that have driven these shifts. We have seen dramatic ups and downs in the natural gas markets. But, regardless of these short-term fluctuations, Qatargas is committed to producing and selling LNG. Our access to the liquid markets of the Atlantic Basin will serve Qatar well during this economic down-turn," he said.

To support the new and existing LNG ventures and other industries in Qatar, Mr. Al Suwaidi said that the government is focused on providing opportunities for a technical education and is encouraging students to consider engineering studies.

The government is developing an Education City comprised of local university programs affiliated to reputed international institutions to train the students.

"Further, at Qatargas we work hard to reduce attrition and provide long-term opportunities for our people. I believe the gas industry offers people challenging and rewarding careers that should attract the brightest and best young men and women making career decisions. It is important that they are able to learn and appreciate what we have to offer," he said.

The WGC is the most important event of the global natural gas industry. Over 750 industry experts worldwide have been involved in contributing to all the studies and programmes undertaken at the conference.

It is being organised by the International Gas Union under the banner: "The Global Energy Challenge: Reviewing the Strategies for Natural Gas."