Wintershall said it plans to give up its gas exploration activities in Qatar as well as closing its Doha office.
The BASF subsidiary will return its licence to explore Block 4 North near to the Qatari coast.
The company said it had made the decision as a result of limited access to local infrastructure.
Board member Martin Bachmann said during the development planning it “became clear” to the company and its partners that economic development of the discovery “would only be possible if we have access to local infrastructure” which had not been granted.
In 2013, Wintershall made a gas discovery called Al Radeef.
It said other Middle Eastern activities would not be affected by the move.