The agreement calls for Petroworld to complete a feasibility study into the proposed methanol plant by the end of 2003. The study will look at the technical and economic viability of the project and draw up a timetable for implementation. If the project goes ahead, it is scheduled to come on stream in 2008, producing fuel-grade methanol for use in power plants. The gas feedstock will be sourced from the North field gas reservoir.

The tie-up between state-owned Petroworld and QP will build on the involvement of fellow South African firm Sasol in the project to build Qatar's first gas-to-liquids (GTL) plant, also at Ras Laffan (MEED 28:2:03). The project company, Oryx GTL, is a 51:49 joint venture between QP and Sasol.

Doha has long harboured plans to build a stand-alone methanol plant. In the early 1990s, the UK's Penspen looked at building an 825,000-tonne-a-year (t/y) facility at Umm Said.

In 1997, Canada's Methanex signed a memorandum of understanding to build a 3 million-t/y plant at Ras Laffan (MEED 28:11:97).

www.meed.com/petrochemicals