Qatar, Total sign 25-yr contract 

(MENAFN) Qatari Minister of Energy and Industry, Dr Mohammed bin Saleh Al Sada, announced that his country and French oil giant Total inked a new contract for the Al Khalij oil field, reported Arabian Business.

Al Sada, who is also chairman and managing director of Qatar Petroleum (QP) said that under the terms of the 25-year deal, the French company, which discovered the major oilfield in 1991, will have a 40 percent operating interest in the field, whereas QP will have 60 percent.

The two sides inked an Exploration and Production Sharing Agreement (EPSA) back in 1989, and is due to expire in 2014.

The country is developing its natural resources as it plans to boost its hydrocarbon reserves.

It is worth noting that the Al Khalij oil field is located nearly 130km east off the Qatari coast, and started output in 1997.