Hydrocarbons: Sonatrach, Total ink two new agreements

  • 14 October 2018 / News / 240 / Africa-Bi1

Hydrocarbons: Sonatrach, Total ink two new agreements

French energy group Total  and  state-run oil and gas firm Sonatrach have signed new agreements, including a contract to develop the Erg Issouane gas field and plans to create a joint venture, Total said.

Following the 25-year contract, Sonatrach and Total will develop the reserves of Erg Issouane, located on the TFT Sud permit in Algeria, estimated at more than 100 million barrels of oil equivalent.
As for the second contract, it is a shareholders’ pact to create the STEP joint venture (Sonatrach Total Polymers Company).

This joint venture will be responsible for carrying out the joint petrochemical project in Arzew, which includes the construction of a propane dehydrogenation plant (PDH) and a polypropylene production unit (PP) with a capacity of 550,000 tons /year.

The two partners (Sonatrach 51% and Total 49%) have planned to launch engineering studies in November 2018.

“Today’s agreements mark a new milestone in the development of the strategic partnership between Sonatrach and Total to continue developing the country’s gas reserves by providing the best of our technological expertise,” Total Chairman and Chief Executive Patrick Pouyanné said in a statement.

source: Dz Breaking

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