Project market awards and Outlook
The news is pretty much all positive in Qatar’s projects market, which is currently a rising regional star thanks to the country’s upswell in activity over the past 12 months. This was led by the $13bn award in early 2021 for the construction contract on the new LNG processing trains at the all-important North Field development to France’s Technip Energies and Japan’s Chiyoda.
All in all, the value of projects under execution in Qatar grew by 19 per cent in 2021, and there remains $21.4bn-worth of project work in the bidding phase, including major gas and utilities schemes. Strong project activity in 2022 will build on Doha’s record LNG infrastructure contract award in 2021 and the pipeline, combined with Doha’s ample liquidity, should ensure the projects market remains a bright spot in the region and buoyant above and beyond the recovery in other non-oil sectors.
Master planned projects dominate Qatar’s pre-execution project pipeline as per the latest MEED Projects data. The LNG expansion programme and finalising projects in time for the 2022 World Cup will be the focus of attention over the next nine months.
Push for PPP projects
Qatar’s push for public-private partnership (PPP) projects through its forward-looking financial strategy followed the issuance of Law No. 12 of 2020 in May. The PPP law was seen as a critical development as the government looks to derisk its fiscal position and progress beyond traditional capital expenditure to fulfil Qatar National Vision 2030’s mandate, and opts to work with investors and operators that meet its meticulous PPP requirements.