Petrofac Wins $1bn Algerian Job

Engineering firm Petrofac has won a $1bn contract with Algerian Groupment Isarene, the joint operating group set up by Sonatrach, Petroceltic and Enel, for the Ain Tsila project, it said March 13.

Some 1,100 km southeast of Algiers, the field will produce gas, liquid petroleum gas and condensate for the local Algerian market and for export. Under the terms of the 42-month contract, the lump-sum engineering, procurement and construction (EPC) project scope of work includes commissioning, start-up and performance testing.

Petrofac said the contract builds on its significant track record in Algeria, where it has been operating successfully for more than 20 years, with a strong record for project execution and the development of local capability. 

Petrofac’s EPC activities in Algeria include Sonatrach’s Tinrhert field development project, along with the Alrar and Reggane projects that started up last year.

Ain Tsila is one of five fields that between them will add almost 20bn m³/yr to national output, helping to offset declines at the older fields and maintaining output of some 85bn m³/yr. The others are Touat, Reggane North, Timimoun and Tinrhert. The super-giant Hassi R’Mel gas field, which has produced for over 40 years, is now thought to be suffering serious water incursion.