Abu Dhabi: The Dodsal Group, a Dubai-based business company currently operating in countries across Mena (Middle East and North Africa), East Africa and India, has been awarded an Engineering, Procurement & Construction (EPC) Contract from Sonatrach, Algeria’s state energy producer, the company said on Monday.
The group will execute a Separation and Compression Centre at the periphery area of South HGA-Hassi Messaoud. The project value will amount to approximately $1.1 billion (Dh4.04 billion), the company said in a statement.
It added that the work, which includes detailed engineering, procurement, construction and commissioning of the plant, will begin shortly and is scheduled to be completed in 2020. Upon completion, the plant will be producing at a capacity of 66,000 barrels per day.
“This order further strengthens our long term relationship with Sonatrach and also reinforces our presence in Algeria, which is a strategic market for Dodsal. We are proud to continue our association with Sonatrach and are looking forward to working closely with them to successfully deliver this project,” stated Dodsal Group Chairman and President, Rajen A. Kilachand.
Algeria is Africa’s biggest natural-gas producer and a member of the Organisation of Petroleum Exporting Countries. The country boosted its gas exports in 2016 and plans to increase gas output to 141.3 billion cubic meters (bcm) this year and 143.9 bcm in 2018, from 132.2 bcm in 2016. Sonatrach’s exports generate more than half of the government’s budget revenue.
The group has executed other projects in Algeria, such as the construction of the Skikda LNG Project in 2009, and has since been awarded its third major EPC contract by Sonatrach. Dodsal has been executing EPC projects for over five decades in the energy, industrial and infrastructure sectors across the Middle East, Europe, North and East Africa, the Indian Subcontinent and South-East Asia.