Sonatrach signs $70 million pipeline contract with ABB Lummus

By the OGJ Online Staff

HOUSTON, May 25 -- Algerian state oil company Sonatrach signed a $70 million contract with Swedish ABB Lummus Group for the extension of the OH3 oil pipeline linking Hassi Berkine and Haoud El Hamra oil fields in southeast Algeria, the Organization of Petroleum Exporting Countries news agency said Friday.

The project involves setting up a crude store facility and shipping station at Hassi Berkine field and construction of a pumping station.

The project is slated for completion within 22 months and will allow for an increase in the capacity of the pipeline to 500,000 b/d.