Qatar Approves Development Plan for Al Khaleej Gas

The State of Qatar, Qatar Petroleum and ExxonMobil Middle East Gas Marketing Ltd., a subsidiary of ExxonMobil Corporation announced the launch of phase one of Al Khaleej Gas (AKG-1).

Al Khaleej Gas (AKG) will produce gas from Qatar's North Field, recover associated condensate and natural gas liquids for sale, and market 1.75 billion cubic feet per day of pipeline gas for domestic and export customers. AKG will be developed in phases to meet the gas sales commitments, with AKG-1 to supply approximately 750 million cubic feet per day to the Oryx GTL plant (QP/Sasol Joint Venture), Ras Laffan Power Plant and other domestic industrial customers. First gas is scheduled for the fourth quarter of 2005. Total investment for AKG-1 is in excess of $1.1 billion.

"The signing of this agreement with our long-time partner, ExxonMobil, reflects the strong confidence in the stable economic development of the State of Qatar, giving all credit to the trust bestowed upon us in this respect by H.H. the Emir, Sheik Hamad Bin Khalifa Al Thani," His Excellency Abdullah Bin Hamad Al Attiyah, Minister of Energy and Industry, Chairman of Qatar Petroleum said.

"With its strategic geographical location and its enormous reserves of natural resources of gas in the North Gas Field, Qatar will continue to develop as a dynamic base for major world-class industrial projects," H.E. Minister Al Attiyah added.

"The launching of Phase 1 of the Al Khaleej Gas Project represents another significant step forward in the development of natural gas from Qatar's North Field for domestic and regional markets," said Mr. Harry Longwell, Director and Executive Vice President, ExxonMobil Corporation.

ExxonMobil is pleased to be working in partnership with the State of Qatar on this project and other joint venture activities. These projects progress Qatar's strategic plan to develop markets around the world for the country's enormous gas reserves."

ExxonMobil is the world's largest non-government marketer of equity gas, with total equity gas sales of 10.5 billion cubic feet per day.