Sonatrach Awards Contract To ABB

ABB announced that it has won a US$ 70-million contract to upgrade a key oil pipeline in Algeria. The contract includes upgrading the pipeline, which is owned and operated by state-run oil and gas company Sonatrach, to increase capacity from 17 to 23 million barrels per year. The 290-kilometer pipeline links the Hassi Berkine oil field with the dispatching terminal of Haoud El Hamra, located in the Berkine Basin, approximately 1,000 kilometers southeast of Algiers. The project is expected to be completed in less than two years. Under the terms of the agreement, ABB is responsible for engineering, procurement and construction of an oil stocking and dispatching center at Hassi Berkine and a pumping station at Nezla. The project will be designed and managed at offices in Milan, Italy and construction activities will be carried out by Sarpi, an ABB and Sonatrach joint venture operating in Algeria. The joint venture company is 50/50 owned by the protagonist companies.