Saipem wins Sonatrach FEED for Algeria phosphate integrated project
- Contract awarded via a competitive dual FEED process where the client will pick between two designs and then directly award the EPC.
- FEED covers mining infrastructure at Bled El Hadba and process/ancillary units at Oued Keberit, plus Annaba port upgrades and new railway sections.
- Project aims for annual extraction of 10 million tonnes of phosphate and production of 6 million tonnes of fertilisers once operational.
- Described as Algeria’s first integrated mining‑and‑fertiliser project, intended to diversify the national economy and strengthen its position in the global fertiliser market.
Award and procurement route
Saipem has been awarded a Front End Engineering Design (FEED) contract by Sonatrach for the Phosphate Integrated project in Algeria. The contract is a competitive dual FEED: Saipem and a competing operator will each deliver a FEED and Sonatrach will select the best technical and economic solution, then directly award the EPC contract to execute the chosen design.
Scope of work
The FEED includes front‑end engineering for a new industrial complex covering phosphate mining infrastructure in the Bled El Hadba area and process and ancillary units in the Oued Keberit area. The scope also covers upgrading Annaba port for product export and constructing railway sections to connect extraction and production facilities to the main railway line.
Capacity and strategic objective
Once operational, the integrated facilities are planned to extract 10 million tonnes of phosphate annually and to produce 6 million tonnes of fertilisers per year. The project is presented as Algeria’s first integrated mining‑and‑fertiliser development and is framed as a measure to diversify the national economy and enhance its position in the global fertiliser market.
Local footprint
Saipem notes a long presence in Algeria dating to 1968, citing prior delivery of infrastructure for hydrocarbon treatment and transportation, power generation and drilling activities; the company says the award signals a new phase of work with a historically strategic client.
Source: saipem.com
