LONDON, Oct. 31 (UPI) -- British energy services provider Petrofac announced it secured a $650 million contract to work to extend the life of a natural gas field in Algeria.
Petrofac said it secured the 32-month engineering contract through a partnership with Italian contractor Bonatti. The company said the work is for construction and commissioning of new processing facilities at the Alrar natural gas field in southeast Algeria, in service since 1987.
"This development builds on Petrofac's long history of successful execution in Algeria where we have been operating successfully for more than 15 years," Subramanian Sarma, managing director for the company's onshore division, said in a statement Wednesday.
Petrofac offered no reserve estimate for Alrar. It's working alongside BP and others at a complex in southern Algeria expected to produce more than 300 billion cubic feet per year beyond 2013.
The Organization of Petroleum Exporting Countries said natural gas production from member state Algeria is in decline because of a lack of investments.
Employees with international and national energy companies working in Algeria died in a January terrorist attack on the In Amenas gas complex in eastern Algeria.
