Sonatrach lets EPC contract for Hassi Messaoud plant

Algeria's Sonatrach has awarded Saipem a 3-year, $700 million contract for the engineering, procurement, and construction of an oil treatment and stabilization plant in Hassi Messaoud.

Eric Watkins
Senior Correspondent

LOS ANGELES, June 1 -- Algeria's state-run Sonatrach has awarded Saipem SPA a 3-year, $700 million contract for the engineering, procurement, and construction of an oil treatment and stabilization plant in Hassi Messaoud, 800 km southeast of Algiers.

Sonatrach said the plant will comprise three trains, each with 100,000 b/d of oil capacity, one maintenance unit, four stocking units of 50,000 cu m each, and a 45-km pipeline transporting oil, water, and gas. Works are expected to last 37 months.

The project, aiming to enhance crude quality and improve safety and production rates, is expected to contribute significantly to the production optimization program of Sonatrach's Hassi Messaoud field, Sonatrach said, given the extent of the field's reserves, their quality, and the complexity of the reservoirs.

Contact Eric Watkins at hippalus@yahoo.com.

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