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Fulfilling the Logistics Needs of the World’s Largest Liquefied Natural Gas Supplier

December, 2016

Fulfilling the Logistics Needs of the World’s Largest Liquefied Natural Gas Supplier

How much of a growth industry is the Oil and Gas sector in the State of Qatar?

That’s an obvious but good question. Although the moratorium placed by the government on the North Fields projects in 2005 remains in effect, there have been significant contracts signed and projects undertaken. QP, for example, announced plans in May 2014 to redevelop the Bul Hanine offshore oilfield, investing $11 billion to double the production of the current 45,000 barrels of oil a day by 2028. The Bul Hanine project is also responsible for the Barzan Gas Project, which will bring an estimated 48.1 mcm of gas per day by 2015. These, and many other projects have ensured that Qatar is still the largest LNG supplier in the world, producing 77 million tons per year since 2010, with gas reserves of 25.1 tcm, in addition to being a major oil producer in the region.

How has this affected the logistics industry in the State of Qatar?

This production rate has allowed for a downstream investment of more than $13 billion since 2013, and the commitment to public works and utilities has provided a total investment of $13.7 billion dollars in the last five years, and a further $8.24 billion in contracts to be awarded in the next three to four years in the utilities sector. All this, in addition to the country’s drive for economic diversification and sustainability as outlined in the Qatar National Vision 2030, will contribute to the rising revenues of the logistics industry, projected at $11,930 million by 2016.

How does Gulf Warehousing Company directly contribute to the Oil and Gas sector?

GWC has constructed a number of industry-specific facilities that directly cater to the Oil and Gas sector. Our Ras Laffan and Messaieed facilities are essentially adjacent to the operations of the major players in the petrochemical sector, reducing our road transport time considerably.

The Ras Laffan (RLIC) facility is spread over a 38,500 sqm area and houses a state-of-the-art 16,000 sqm warehouse with latest selective and double deep racking system with total storage capacity of 20,310 pallet positions, 4500 sqm bulk storage area with a 75 ton overhead crane, an automated vertical storage carousel for high value and sensitive parts storage, 10,000 sqm logistics base for tubular storage and highly secured ISO tank storage facility for bulk chemicals.

The RLIC Warehouse has been approved by Ministry of Environment and Civil Defense authorities for storage of various types of hazardous materials used in Oil & Gas Industry.

Our logistics complex in Mesaieed has multiple hi-tech warehouses equipped with latest technologies to ensure world class logistics management to all our clients, supported by state-of-the-art IT infrastructure, international best practices and globally accepted quality management standards.

The facility consists of 3 purpose built, 4,500 sqm warehouses and 40,000 sqm open yard facility strategically located in the Mesaieed Light Industries area. The Warehouses has temperature controlled bulk and rack storage to cater for multiple storage conditions and requirement and a dedicated hazardous material storage facility with highest level of safety standards and separate chambers for storage of different classes of chemicals according to its compatibility.

Oil and Gas

With proven gas reserves of over 900 trillion standard cubic feet in its North Field and oil reserves in excess of 15.2 billion barrels, Qatar’s Oil and Gas sector shall clearly have a role to play in the national economy for years to come. To explain what this means for the local logistics sector, as well as to outline the types of facilities available to service this sector.

Mr. Ranjeev Menon, Group Chief Executive Officer of GWC
Are any of the Oil and Gas specific services provided through the flagship facility, the Logistics Village Qatar?

Of course – The Logistics Village Qatar serves as a transportation hub for its Oil and Gas customers, with the Gulf Warehousing Company’s transport team performing cross-docking of heavy-weight, 45ft length tubular shipments for oil and gas industry from closed containers to flatbed trailers from LVQ by using specially designed handling equipment and qualified riggers for Oil and Gas customers.

LVQ warehouse also acts as a collections point from various local suppliers for Oil and Gas companies who are delivering goods for them and who cannot directly access their warehouses in restricted areas. We will deliver these goods to the end users at fixed intervals.

Furthermore, we provide palletization, shrink filming and strapping of cargo; crating of export shipments with serial number tracking; and consolidation of cargo to FTL loads for delivery to site with verification against POs.

Where do you see the collaboration between the Oil and Gas sector and the logistics industry going?

I believe both have a sincere interest in seeing the infrastructure of the nation growing – a belief shared by the government. The State of Qatar has already invested $7.4 billion in the New Doha Port and $1 billion for the Qatar Cargo Complex at Hamad International Airport, and yet there is still a gap that remains to be filled. I therefore see a continued collaboration between the major corporations of both sectors to direct the creation of the necessary infrastructure required to ensure the smooth supply chain operations of all sectors, including Oil and Gas.

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