BP lets development contract for In Salah fields

BP Exploration (El Djazair) Ltd. has let a front-end engineering and design contract to Foster Wheeler Ltd. for development of the southern fields of the In Salah project in Algeria.

Oct 13th, 2008

Uchenna Izundu
International Editor

LONDON, Oct. 13 -- BP Exploration (El Djazair) Ltd. has let a front-end engineering and design contract to Foster Wheeler Ltd. for development of the southern fields of the In Salah project in Algeria.

The value of the contract was not disclosed.

Foster Wheeler's contract underpins the second phase of the In Salah gas (ISG) development, which is the largest dry gas joint venture development in Algeria. It will update design; develop the technical data, specifications, and requisitions; and provide a detailed cost estimate for the engineering, procurement, and construction scope of work.

Under the second phase, gas output will be maintained at plateau levels when production from the three northern fields starts to drop. "It involves the development of the four fields to the south of the current development, Garet el Befinat, Hassi Moumene, In Salah and Gour Mahmoud, located near the town of In Salah in the Walia of Tamanrasset," Foster Wheeler said (see map, OGJ, Dec. 4, 2000, p. 45).

ISG currently produces 9 billion cu m/year from three northern fields. Seven proved gas fields are under development in the southern Sahara, 1,200-km south of Algiers. ISG is also the world's first full-scale carbon dioxide capture project at an onshore gas field.

The partners in the ISG venture are Sonatrach, BP, and StatoilHydro.

Contact Uchenna Izundu at uchennai@pennwell.com.

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