The primary advantage of GTL basestocks for RDS is that RDS and QP have the joint venture Pearl GTL plant in Qatar and the feedstocks for this plant are free, such is the abundance of natural gas in Qatar.
Aside from the small sideline of motor oil basestocks, this plant produces mainly liquid fuels.
RDS has said that the plant is economically viable as long as oil prices remain above $40.00/bbl.
There has been talk of building a similar plant on the US Gulf coast to take advantage of the current abudance and low prices of natural gas in North America, although that plan was put on hold more than a year ago.
Aside from the small sideline of motor oil basestocks, this plant produces mainly liquid fuels.
RDS has said that the plant is economically viable as long as oil prices remain above $40.00/bbl.
There has been talk of building a similar plant on the US Gulf coast to take advantage of the current abudance and low prices of natural gas in North America, although that plan was put on hold more than a year ago.