The Algerian oil and gas company Sonatrach selected the northwestern Algerian province of Ain-Temouchent as a site for a future refinery and two other major industrial facilities. Competition among several provinces to convince Sonatrach was intense and apparently the front-runner Bejaia lost its bid. The decision was endorsed by the government, with the approval of energy and mining minister Chakib Khelil.
The refinery will be located in the town of Beni-Saf on a surface of 500 hectares. The site was selected based on a variety of factors, including abundant water resources to be tapped from a reservoir that currently uses only 20% of its reserves, access to the Sidi Ali seashore, which will be used as a seaport and a rail hub with connection to the Beni-Saf port. The site is currently state property and its transfer to Sonatrach will be a simple administrative formality.
Nearby, a gas compression station will be built. The station will be part of the 560-kilometer gas pipeline project being constructed by the Spanish Medgaz. Work on the site will require some 5,000 workers. The pipeline will cross the Sidi-Djelloul region to head to Almeria in Spain.
Work on the compression station is slated to begin in the third quarter of 2006 with the goal of moving 7 billion cubic meters of gas in 2008, and doubling that volume in 2020. A total of DZD 31 billion will be spent on the station project.
Ain-Tmouchent and the surrounding regions are gaining momentum in industrial investment. Along the right bank of the Chatt-El-Hillal beach will be constructed a water desalination plant. 60% of the $150 million investment will be financed by the Spanish industrial group Geida, and the remaining will come from the Algerian water company Algerie des Eaux. With a capacity of treating 150,000 m3/day, the plant will require two years of work, and is expected to be completed by the end of 2007.
The Algeria oil and gas company announced a new finding in Oued Mya's basin following the drilling of Berkaoui West 3 (BKO-3) exploration well in block 438c.The drilling, which is located 30 kilometers from Ouargla or 800 km southeast Algiers, was 4,235 meters deep. Sonatrach says the test carried out to assess the Triassic tank's potential produced a flow of 3,565 oil barrels per day and 132,000 cubic meters of gas per day
The North Africa Journal 2005
