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Samsung Engineering Wins Algerian Gas Field Development Deal Worth US$800 Million
Algeria Gas Project
Samsung Engineering Wins Algerian Gas Field Development Deal Worth US$800 Million
  • By matthew
  • February 18, 2014, 08:41
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Samsung Engineering President Park Choong-heum (left) shakes hands with Sonatrach Chairman Abdelhamid Zerguine in the capital city of Algeria on Feb. 16 (local time).
Samsung Engineering President Park Choong-heum (left) shakes hands with Sonatrach Chairman Abdelhamid Zerguine in the capital city of Algeria on Feb. 16 (local time).

 

Samsung Engineering won an 850 billion won (US$800 million) contract to develop a gas field in Algeria.

The Korean builder unveiled on Feb. 17 that it signed a contract for the Timimoun Field Development Project on February 16 (local time) to build a central processing facility (CPF) and related pipelines for Timimoun field, located some 800 kilometers south of Algiers in the west-central part of Algeria.

The company said it will be responsible for completing the turnkey project by April 2017 from drawing up the plan, procurement, construction to conducting a trial run. 

The CPF will produce 177 million standard cubic feet of gas per day.

Groupement Timimoun (GTIM), which placed the order, is a joint venture among Algeria’s largest state-run oil company Sonatrach, France’s oil giant Total, and CEPSA SAU of Spain. Sonatrach owns a 51 percent stake, followed by 37.75 percent for Total, and 11.25 percent for the Spanish oil company.

Samsung Engineering puts a great meaning in that it is able to strengthen cooperation with Sonatrach, which would ensure closer work with the largest shareholder of the joint venture and the largest company in Africa. The Korean builder expects the latest contract will permit greater cooperation with Sonatrach down the road and allow the company to make greater inroads in the African construction and engineering market.

In 2009, the company secured the US$2.6 billion Skikda oil refinery project from the Algeria’s state-run company.