Sonatrach plans $6-billion petchems complex at Skikda, another $6 billion for methanol, derivatives
Sonatrach Group CEO Toufik Hakkar said on Friday in In Amenas, Illizi, that oil and gas production volumes have not declined despite the reduction in the number of personnel under preventive measures against the spread of Covid-19, reports APS.
The CEO of Sonatrach said that the group “is already preparing the post-coronavirus stage”, announcing the imminent signing of several productions, petrochemical, and service contracts.
Regarding Sonatrach’s strategy, Hakkar said that “the group has turned to the international”, especially since it is present in Tunisia, Libya, Mali, and Peru as well as in Europe; Italy, Spain, and the United Kingdom, through companies selling gas and petroleum products and in Turkey as part of a petrochemical project.
As for priority petrochemical projects, the CEO cited the Hassi Messaoud refinery with a capacity of 5 million tonnes/year, the agreement for which was signed in early 2020, adding that the technical studies were underway that the works were scheduled to start in early 2021 with the next launch of other projects similar to Tiaret and Skikda.
Hakkar revealed the signing of a project in partnership with the Total group in Arzew, Oran, in addition to the second project in partnership with the Turks. Other projects, he said, are understudies, such as a megaproject worth $ 6 billion to transform gas and oil into value-added plastic products in Skikda, which is currently in the concertation stage with a foreign partner, or the methanol and derivatives project also “a major project of the order of $ 6 billion being studied and concerted with another partner”.
Another project belonging to the Ministry of Industry and in which Sonatrach will take part concerns the extraction and transformation of phosphates and which is also “under study and will be signed before the end of the year with a partner for directly begin the realization ”.
Hakkar encouraged officials to raise the rate of gas recovered from 25% to 40% using new technologies, stressing the imperative to reduce investment costs, particularly in terms of renovating the units and using new techniques. allowing optimal use of available resources.