Petrofac, the international oil & gas service provider, has entered into two strategic contract agreements with Algerian state-owned Sonatrach.
The first is a five year contract where Petrofac will be providing a range of multi-discipline engineering design and procurement services in support of Sonatrachís upstream hydrocarbon development programme within the procedures that govern the tendering process. It is anticipated that the contract will cover the early definition of new projects, detailed engineering and services in support of project execution. Around 100 personnel will support the contract throughout its duration.
Under the terms of the second agreement, Petrofac has signed a Memorandum of Understanding with Sonatrach, committing both parties to establish an Algerian Joint Venture to undertake engineering and project execution of selected upstream and downstream developments. The Joint Venture is expected to be finalised by mid-2015 with first project activity in Q4 2015.
Building local capability and capacity through the transfer of knowledge, systems and processes and customised training is at the heart of both agreements; ensuring the development and mentoring of future generations so they have the skills to take Algeriaís oil and gas industry to the next level. The majority of engineering services will be delivered locally.
Craig Muir, Managing Director for Petrofacís Engineering & Consulting Services business commented: Our track record in Algeria extends more than 15 years and over that time we have had the opportunity to undertake many different types of work. From EPC projects at one end of the spectrum, through operations and maintenance and engineering services, underpinned by our strong local technical training capability. These two most recent agreements are excellent illustrations of our strategy in action: utilising our international capability to maximise in-country value in key areas of operations. This is an ideal opportunity to support our longer-term sustainability in-Algeria and we look forward to working with Sonatrach to deliver the wide variety of services that these agreements have the potential to offer.
For more information about related Opportunities and Key Players visit Algeria Oil and Gas Projects