Petrofac (LON: PFC) has provisionally been awarded a contract for work on a major gas field onshore Algeria.
Leading a consortium with Genie Civil et Batiment (GCB), the energy services giant will carry out engineering, procurement and construction (EPC) for the Sonatrach-operated Tinrhert EPC2 development project.
A contract value of around $300 million has been given, of which Petrofac’s share is about two thirds.
Located in Alrar, around 930 miles south-east of Algiers, EPC2 will provide a new central processing facility (CPF) with inlet separation and decarbonisation units.
The scope of work also includes tie-ins to the existing Alrar Separation and Boosting Facilities, which Petrofac originally helped deliver in 2018, along with commissioning, start-up and performance testing.
Once complete, the development will boost natural gas production and remove CO2 from the field’s gas reserves, enabling further economic growth in Algeria.
Elie Lahoud, chief operating officer for Petrofac’s Engineering & Construction division said: “The Petrofac and GCB consortium is testament to our focus on local delivery, through investment in local supply chains and work forces. We are very pleased to have been notified of this provisional award by Sonatrach, which reflects their confidence in our ability to drive in-country value, whilst safely delivering strategically significant energy infrastructure.”
Petrofac has decades of experience in Algeria, with a strong track record of safe execution.
In 2018 the company was awarded a contract with Sonatrach for Tinrhert EPC1, which, includes delivery of a new inlet separation and compression centre, successfully extending the existing Ohanet CPF.
This project recently achieved a major milestone with the safe introduction of the first hydrocarbons for the start-up of production.
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