Egypt's Petrojet Wins $1 Billion Contract for Algeria Oilfield Development

Egypt's state-owned Petroleum Projects and Technical Consultations Company (Petrojet) has secured a preliminary $1.08 to $1.1 billion contract to lead the second phase development of Algeria's Hassi Bir Rekaiz oil field, operated by a joint venture between Algeria's Sonatrach and Thailand's PTTEP. The project scope includes constructing a central processing facility with a capacity of 31,500 barrels per day and 217 kilometers of associated pipelines, with potential capacity expansion in future phases. Petrojet is partnering with Italy's Arkad Spa as the main contractor, marking a significant strategic milestone that reflects the company's expanding footprint in Algeria and its growing international presence. Egypt's Petroleum and Mineral Resources Minister Karim Badawi highlighted that Petrojet's success abroad supports the ministry's sixth strategic pillar, focusing on strengthening regional cooperation and leveraging Egyptian expertise in large-scale projects across Arab and African markets. Additionally, Petrojet is cooperating with Sonatrach to establish joint manufacturing workshops to maximize added value and generate sustainable foreign currency revenues. The contract underscores Algeria's continued attraction of foreign investment following new laws facilitating capital inflows in the energy sector.