By the OGJ Online Staff
HOUSTON, Jan. 22 -- Algerian oil and gas company Sonatrach and its partners Monday awarded a $257 million contract to a joint venture of Saipem SPA and Bouygues Group for development of oil reserves in the Berkine.
The contract involves development of Rhourde Oued Djemaa oil field and five other bordering oil fields in southeastern Algeria that are held jointly by Sonatrach, Agip SPA of Italy, and BHP Billiton of Australia.
The project involves various installations, including a central treatment unit, a gathering network, and oil storage tanks.
The companies will spend another $190 million to drill 20 production wells.
The six fields, with estimated recoverable reserves of 300 million bbl, are scheduled to come on stream at 80,000 b/d in 2004.
