Algeria advances Hassi Bir Rekaiz oilfield development

Algeria

ALGIERS, May 6, 2026 – Sonatrach and PTT Exploration and Production (PTTEP) have signed an EPC contract with engineering companies Petrojet and Arkad for the second stage of development of the Hassi Bir Rekaiz oilfield in northeastern Algeria, Sonatrach announced on Tuesday.

Hassi Bir Rekaiz is a conventional onshore oilfield in the northern Berkine Basin operated by PTTEP in partnership with Sonatrach and CNOOC. The scope of the EPC contract includes construction of a 315,000-bopd crude oil processing unit, as well as associated treatment facilities for produced water and gas.

Sonatrach said the second phase of the oilfield’s development will increase production and improve processing efficiency, supporting Algeria’s export capacity and strengthening the country’s position as an energy supplier.

In parallel, Sonatrach signed a fixed-term framework agreement with the Egyptian General Petroleum Corporation (EGPC) to co-operate in the marketing of crude oil and petroleum products.

Petrojet is a state-owned Egyptian integrated contractor serving the oil and gas, petrochemicals, power, industrial and infrastructure sectors. Milan-based Arkad provides EPC contracting and commissioning services for energy projects worldwide.

Photo courtesy of Sonatrach