Petrofac Pens Tinrhert EPC2 Contract & MOU to Support Algeria’s Training Goals

Following provisional award in August 2022, Petrofac, leading a consortium with Genie Civil et Batiment (GCB), has today signed an engineering, procurement and construction contract with Sonatrach for the Tinrhert EPC2 Development Project. The contract, signed at an official ceremony in Algiers, is valued at approximately US$300 million, with Petrofac’s share around US$200 million.

Located in Alrar, around 1,500 kilometers southeast of Algiers, the project will provide a new Central Processing Facility (CPF) with inlet separation and decarbonization units. The scope of work also includes tie ins to the existing Alrar Separation and Boosting Facilities, along with commissioning, start-up and performance testing. When completed, the development will boost natural gas production and remove CO2 from the field’s gas reserves, within specifications for the global market, enabling further economic growth in Algeria.

A Memorandum of Understanding (MOU) between Petrofac and Sonatrach’s Algerian Petroleum Institute (IAP) was also signed at the ceremony. The collaboration is designed to build local capability in support of Algeria’s nationalization objectives.

The IAP was created in 1965, with the objective of providing qualified personnel for the development of Algeria’s energy industry. The Petrofac/IAP partnership will modernize training schools, construct new facilities, and provide training and competence management solutions for local engineers. In addition, Operations and Maintenance training programs will be implemented for both local and regional markets. The MOU also encompasses the development and roll out of e-learning resources.

Manish Bhojwani, Petrofac’s Algeria Country Manager, said: “Petrofac has deep roots in Algeria, supporting the development of critical energy infrastructure and training the workforce of tomorrow. Our partnership with IAP will enable us to share our knowledge and expertise across the local supply chain as it seeks to develop its capability and capacity. I look forward to seeing this in action through our delivery of Tinrhert EPC2 with GCB and Petrofac’s participation in other future developments in Algeria.”

Petrofac supports many of the world’s largest energy companies and has decades of experience in Algeria, with a strong track record of local execution. In 2018 the Company was awarded a contract with Sonatrach for Tinrhert EPC1, which, includes delivery of a new inlet separation and compression center, successfully extending the existing Ohanet CPF. Petrofac is committed to the development of local skills and supporting local supply chains. In 2010 the Company designed and built a construction skills training center in Hassi Massaoud with the capacity to train up to 400 Algerian delegates each year.