Sonatrach Expands Energy Projects in Algeria, Boosts Gas Supplies to Europe

Algeria’s leading state-owned energy company, Sonatrach, has embarked on a series of agreements aimed at enhancing the country’s energy infrastructure and augmenting gas supplies to Europe. These agreements mark a significant step towards bolstering Algeria’s position in the global energy market.

Sonatrach has recently inked contracts with several companies, including a notable partnership with a consortium comprising Baker Hughes and Tecnimont. The consortium has been entrusted with a pivotal gas-boosting project targeting the Hassi R’Mel gas field in Algeria. This endeavor forms part of a larger initiative awarded to a consortium involving Baker Hughes and Tecnimont, both subsidiaries of the renowned technology and engineering group MAIRE.

The contract entails the implementation of a gas-boosting project within the Hassi R’Mel gas field, situated approximately 550 kilometers south of Algiers. Baker Hughes, in collaboration with Tecnimont, will supply 20 compression trains utilizing advanced Frame 5 gas turbine and BCL compressor technology. These compression trains will be strategically deployed across three gas boosting stations within the Hassi R’ Mel gas field, which is renowned as Algeria’s largest gas field.

According to a statement released by Baker Hughes on May 23, the technology employed in this project is anticipated to significantly enhance the pressure and stability of natural gas, consequently augmenting production capacity at the site. This development aligns with Algeria’s overarching strategy to fortify its presence in the global energy landscape. Presently, Algeria stands as a prominent gas supplier to Europe, particularly in Italy, where it represents the principal source of import.

Manufacturing and assembly of the compression trains, along with the production and testing of compressors, are slated to occur at Baker Hughes’ facilities in Italy. This collaborative effort underscores the international dimension of the project and underscores the synergy between Algerian and European stakeholders in advancing energy initiatives.

In addition to the partnership with Baker Hughes and Tecnimont, Sonatrach has also entered into memorandums of understanding (MoUs) with ExxonMobil Corp. and Eni SPA. The MoU with ExxonMobil is geared towards exploring opportunities for the development of hydrocarbon resources in Algeria’s Ahnet and Gourara basins. Similarly, the MoU with Eni aims to establish a comprehensive program focused on harnessing the hydrocarbon potential within designated areas encompassing Zemoul El Kbar, Rourde El Louh – Sif Fatima, and Rhourde Messaoud Nord.

These agreements underscore Sonatrach’s commitment to leveraging strategic partnerships and cutting-edge technologies to bolster Algeria’s energy sector and reinforce its pivotal role in the global energy market.

Source: OGJ