FACTBOX-Yemen's oil, gas industry

DUBAI Jan 18 (Reuters) - Air strikes on insurgents in Yemen's north and increasing al Qaeda activity could threaten the country's liquefied natural gas (LNG) exports and batter hydro-carbon revenues of the Arab world's poorest country.

For an interview with Yemen's oil minister click on [ID:nLAE753457]

Here are some key facts about LNG and oil production in Yemen:

* According to the U.S. Energy Information Administration (EIA), Yemen is the world's 36th biggest oil producer, with an output of 281,000 barrels per day (bpd) in 2009, compared with 300,000 bpd in 2008, and down from a peak of 457,000 in 2002. The Middle East as a whole produces about 26 million bpd. The EIA estimates Yemen holds 3 billion barrels (bbl) of proven oil reserves.

* Oil production accounts for 70 to 75 percent of public revenue in Yemen and more than 90 percent of export earnings, but output is expected to drop to around 250,000 bpd by 2014.

* Energy revenues are crucial for the impoverished country on the Arabian Peninsula, but armed tribesmen have blown up oil pipelines in the Marib region threatening crude exports in the past two years, and could also target new gas projects.

Oil and gas pipelines crossing the country are seen by some analysts as more vulnerable to attack than export facilities, threatening export interruptions.

* LNG production is seen as crucial in cushioning the impact of falling oil output on state revenues and driving economic growth.

* The government hopes a $5 billion Total-led (TOTF.PA) Yemen LNG project can boost growth to nearly 8 percent, almost double last year's rise in gross domestic product (GDP).

* Yemen LNG can produce 6.7 million tonnes per year for export from the Gulf of Aden port of Balhaf. It sent its first LNG shipment to South Korea in November 2009.

* Gas revenues are set to total $30-50 billion from 2008-28, but experts say this will not be enough to make up for the decrease in oil production.

For an analysis on threats on Yemen and the regional energy industry double click on: [ID:nLK12160]

For an analysis on Yemen's gas sector double click on: [ID:nLL631613]

* At the end of 2008, Yemen had 17.3 trillion cubic feet (tcf) of proven natural gas reserves, according to the BP Statistical Review. Most are concentrated in the Marib-Jawf fields northeast of Sanaa.

POSSIBLE TARGETS

* Al Qaeda in the Arabian Peninsula (AQAP) has threatened attacks against Westerners in the oil-exporting region and wants to topple the U.S.-allied royal family of neighbouring Saudi Arabia. Yemen's Foreign Minister Abubakr al-Qirbi said last month up to 300 al Qaeda militants might be in the country. [ID:nLDE5BS119]

* The United States and Saudi Arabia fear al Qaeda might exploit instability in Yemen -- which also faces a Shi'ite revolt in the north and separatist unrest in the south -- to make it a launch pad for further attacks. [ID:nLDE6030Q0]

* The local headquarters of several large Western oil companies are clustered in the capital, where Western embassies in the residential area also housing Western oil workers have been attacked before.

(Reporting by Martina Fuchs, Editing by Daniel Fineren and Keiron Henderson) ((martina.fuchs@thomsonreuters.com; 971 (0) 436 258 43; Reuters Messaging: martina.fuchs.thomsonreuters.com.@reuters.net))