PVEP signs engineering contract with Algeria

The PetroVietnam Exploration and Production Corporation (PVEP) and its two partners signed a US$451.3 million engineering contract with the Algerian state-owned oil and gas company Sonatrach on August 27.

The two partners are the Petroleum Authority of Thailand and the Japanese Gas Corporation.

Within 31 months, PVEP and its partners will build an oil processing centre with a capacity of 20,000 barrels per day, a compressing plant to transfer fuel from the Bir Seba oil field to Hassi Messaoud city with a daily capacity of 1 million cubic metres, two 130km-oil pipelines, a water separating plant and a power plant in the oil field in southern Algeria.

The total output of oil exploited from the Bir Seba oil field is expected to reach 20,000 barrels a day by 2014 and between 36,000 and 40,000 barrels a day by 2016.

PVEP, an affiliate of the Vietnam National Oil and Gas Group (PetroVietnam) holds a 40 percent stake in the Bir Seba joint-venture established in August, 2009. – VOV

Tags: PVEP