Cepsa, Sonatrach and Alnaft, the national resources development agency of Algeria, have signed a new concession contract for operating the Rhoude el Krouf (RKF) oilfield, located in the Berkine basin in Algeria
The new agreement, which is set to last for 25 years, aims to redevelop the oilfield after 19 years, aiming to increase the production of crude and LPG for the first time.
This project, with an approximate investment worth US$1bn, is expected to generate around 1,500 jobs during the peak construction stage.
The redevelopment includes the drilling of 30 new wells, the construction of a new processing plant including a LPG recovery unit and installations for the expedition of LPG.
According to Cepsa, the new treatment facilities will have a daily production capacity of 24,000 bpd of crude and 10,000 bpd of LPG. The design of the installations is expected to meet the highest technical standards in the industry with regards to efficiency, safety and environmental protection.
The contract results from an agreement signed between the two companies in November 2016, where the bases were set to extend the collaboration for long term. It is considered to come into force once it is published in the Algeria’s official bulletin. The contract will be the first production field in Algeria that will be governed under the hydrocarbon law 05-07.
Source: http://bit.ly/2E8UOn0
