Algeria Step Signing 1700X397
12 June 2023

Petrofac confirms signing of US$1.5 billion EPC contract in Algeria

Further to the announcement of 18 May 2023, Petrofac today confirms it has entered into a definitive agreement with STEP Polymers SPA (‘STEP’, a 100% subsidiary of Sonatrach) for the design and build of its petrochemical complex in the Arzew Industrial Zone in Algeria.

As previously announced, Petrofac will deliver the US$1.5 billion project with its joint venture partner China Huanqiu Contracting & Engineering Corporation (HQC), with Petrofac’s share valued at over US$1 billion. The contract was signed at an official ceremony in Algiers by representatives of Petrofac, HQC and STEP.

Tareq Kawash, Petrofac’s Group Chief Executive, said:

“I am delighted to be in Algiers alongside our partner and client to mark the official award of this pioneering project. Broadening Petrofac’s portfolio within the petrochemical sector, this contract builds on our 25-year track record of safely delivering strategically significant energy infrastructure in Algeria, while developing local workforces.”

Left to right: Roberto Bertocco, Chief Commercial Officer, Petrofac; Katherine Smitton, Deputy Ambassador, British Embassy Algiers; Tareq Kawash, Group Chief Executive, Petrofac; Mohamed Arkab, Minister of Energy and Mines; Toufik Hakkar, President and CEO, Sonatrach; Batouche Boutouba, Vice President RPC, Sonatrach; Fan Cheng Zheng, General Manager, HQC Algeria