It gives me pleasure to welcome you on the occasion of the convening of the Third Ministerial Meeting of the Gas Exporting Countries Forum. I am happy that my country is hosting this great meeting. I wish the Forum all success, and our honourable guests a pleasant stay in Qatar.

      This Forum reflects the increasing importance the natural gas industry has assumed worldwide, where it has made an impact on the interests of the consumer countries and the world economy in general, as well as the economies of the gas producing and exporting countries in particular.

      The convening of this Forum in Qatar confirms the status of Qatar in the industrialization and exportation of natural gas and its derivatives. This urges us to increase the efforts to develop this industry so as to make it rank as a major source of clean energy, depending to that end on the huge reserves in the North Gas Field and the outstanding expertise and technology of the international firms that participate with us in joint ventures or those who made offers to develop our gas-related industries, at the top of which are the gas-to-liquids projects that will turn Qatar into one of the most important centers for the industrialization and exporting of natural gas in the world.

      Realization of the targeted objectives in the development of the gas industry is not without technological, economic and marketing difficulties. This meeting is held at a critical phase in the development of the gas industry and trade. World gas consumption is still growing at rates higher than those of the growth of the other sources of energy such as oil and coal. Most analysts expect the percentage of the consumption of gas in proportion to the total world consumption of energy to rise to about 30% in 2020 A.D.

      The Middle East region holds about 40% of the world gas reserves. If we add to it the reserves of Russia and the former republics of the Soviet Union, the percentage will go up to about 75%. Those two regions, and the Middle East in particular, do not consume but a limited percentage of their reserves. Hence, their export capabilities will be tremendous. The large world importation and consumption centers will be the U.S.A., Europe, East Asia and the Indian Subcontinent. This means that the future demand on gas cannot be met without transporting it to longer distances.

      Historically, most of the gas was consumed where it was produced due to the high cost of transport, and the gas trade represented a low percentage of its production compared to oil and coal. However, the economics of volume and technological developments reduced the exploration, production processing, liquefaction and transport cost, which in turn led to marked improvement in the gas trade in recent years. As a result, it has become possible to transport gas to distant places. Qatar supplies liquefied gas to most major markets in the world.

      These are, undoubtedly, positive developments. Nevertheless, the investments needed for ensuring the growing supplies of gas are still huge and their financing still poses a big challenge to the gas producing countries and financial institutions. On the other hand, there are some international developments in the consumer markets that cause worry and might imperil these investments and consequently limit the required development of the gas sources to satisfy the world needs for it.

      Several consumer states try to lighten the organizational procedures for the purchase and distribution of gas in their countries with the objective of increasing competition and reducing cost on the ultimate consumer by breaking the existing monopolies in these areas. We do not object to this aim, but rather support it. However, this is often accompanied by the creation of new governmental and regional procedures that interfere with the business terms of the contracts of the purchase of gas, its re-liquefaction and distribution. Such procedures mostly threaten the legitimacy of long term contracts and weaken classification of the borrowing capability of the buyers. That is why this trend will have negative impacts on the ability of the exporting countries to supply gas in the future because it radically changes the conditions that have till now contributed to encouraging the creation and financing of high cost gas export projects.

      The countries participating in this Forum can play a vital role in discussing these issues since they own what represents about two thirds of the world gas reserves. This puts tremendous responsibilities on the participants to make the gas industry succeed and satisfy the needs of the world for gas in the future.

      Meetings of this kind are vital for us as producers to review the issues that affect the future of gas supplies and prepare ourselves for a constructive dialogue with the consumer countries, with the aim of reducing the possible negative impacts of the new developments in the consumer markets by indicating the necessary requirements of the producers which enable them to supply the consumers with their growing needs for gas.

      Hence we hope that your meeting will provide the opportunity for consultation, exchange of information and expertise and understanding of the various obstacles and incentives for the progress of the gas industry. We also hope that the conferees would work out a mechanism for continuous dialogue with the gas consumers, aimed at creating a favourable investment atmosphere to realize the interests of both parties.

      In conclusion, I welcome you once again, wishing you a pleasant stay in our country, and success for your conference. We are confident that your deliberations and the working papers you present will contribute to providing the required answers for all that contributes to reinforcing and promoting cooperation between the natural gas exporting and importing countries, as well as to the development of the financing and marketing aspects of the natural gas industry to the benefit of all of us exporters and importers.

May the peace, mercy and blessings of God be upon you.