ABB wins $490-million oil and gas order

06-Apr-2009 - Algeria

ABB has won a contract for about $490 million as part of the El Merk oil and gas project in Algeria.

The contract from Groupement Berkine, an Algeria entity that is co-managed by Sonatrach and Anadarko, is part of a plan to develop hydrocarbon deposits in the El Merk basin in the Algerian Sahara Desert. ABB is leading a consortium on the project with a total value of $650 million. Significant production from the development is scheduled to begin in 2012.

“The new installations will help our customer improve output and achieve their production targets,” said Veli-Matti Reinikkala, head of ABB’s Process Automation division. “This contract underscores ABB’s ability to execute complex projects for the oil and gas industry.”

The project consists primarily of design and installation of pipelines, field gathering stations, gas distribution manifolds and flowlines/trunklines, as well as water and gas re-injection facilities. The pipeline network will connect oil and gas wells to the processing plant via 10 gathering stations. Facilities to inject gas and water into the wells will help increase their output.

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