Signature of contracts with national and foreign companies

Sonatrach, during a ceremony organized at the level of its general directorate, signed five contracts with a number of national companies, including innovative and emerging companies, as part of its efforts to apply its policy of supporting and promoting the national production tool.

 This ceremony also witnessed the signing of two development contracts in the form of engineering, supply and construction with the Italian companies “Technimont” and “Arcade”.

With the aim of developing the hydrocarbon field, a contract was signed with the Italian company “Technimont” to construct a plant, in the form of engineering, supply and construction, to extract liquefied petroleum gas, with a value equivalent to 56 billion Algerian dinars.

The expected processing capacity of this plant is 10 million cubic meters per day of associated gas, which will allow the production of 1,000 tons per day of liquefied petroleum gas, 300 tons per day of condensate and 8.7 million cubic meters per day of gas, and the estimated period of completion of this plant is 36 months.

Parallel to the completion of this plant, a contract was signed with the Sonatrach branch of the National Canal Corporation, related to the construction of a 14-inch pipeline with a distance of 65 km, in the form of engineering, supply and construction, which will allow the transportation of the liquefied petroleum gas produced by this plant to the LPG transport network (LR1) Hassi Messaoud.

This line is expected to be completed within 20 months, with a contractual value of 9.9 billion Algerian dinars.

In addition, with the aim of continuing efforts to develop hydrocarbons, the gas complex Tin Foy Tebencourt (in partnership with Sonatrach-Total Energy) signed a contract with the Italian company “Arcade” for the construction of a new low-pressure unit and a collection network that allows the connection of 24 new producing wells with the current plant, as well as the renewal of existing facilities in the form of engineering, logistics, construction and construction management.

This project will allow to maintain the production threshold at the level of 11 million cubic meters per day, equivalent to the amount allocated to it, 24 billion Algerian dinars, for an estimated completion period of 34 months.

On the other hand, and in support of the policy of upgrading the national production tool adopted by Sonatrach, three other contracts for the supply of equipment were signed on the occasion with innovative companies and start-ups.

 These contracts allow Sonatrach to acquire equipment for hydrocarbon processing units from innovative Algerian companies that were able to manufacture this equipment locally, which were previously imported in hard currency.

Two contracts were also awarded for the design, manufacture and supply of high and low pressure tri-fluidic separation equipment for the gas processing unit of “Tin Foy-Tabencourt”.

Finally, the ceremony witnessed the signing of a contract between Sonatrach and its subsidiary, the National Company for Civil Engineering and Construction, related to the construction of a life base dedicated to housing the workers of the pumping station under construction in Hassi Messaoud.

The capacity of this base ranges between 82 and 120 beds, and the period of completion of this facility is estimated at 24 months, with a contractual value of 3.4 billion Algerian dinars.

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