Sonatrach Awards $855 Million Gas Infrastructure Contract to China’s Jereh Group

✍️ BY: Dr. Hana Saada

In a move to modernize its energy infrastructure and reinforce its role as a key natural gas exporter to Europe, Algeria partners with Jereh Oil & Gas Engineering for a major development project at the vast Rourd Ennous gas field.

─────────────◆─────────────

Algiers, Algeria– Wednesday, July 16, 2025 | In a stride to consolidate its position in the global energy landscape, Sonatrach, Algeria’s state-owned oil and gas giant, has signed a $855 million contract with the Chinese energy conglomerate Jereh Oil & Gas Engineering Group. The agreement, unveiled this week, targets the development of a strategic gas infrastructure project at Rourd Ennous, one of the largest gas fields in the country, located in the resource-rich province of Illizi in southeastern Algeria.

The landmark deal includes the construction of a new gas compression station and a comprehensive modernization of the existing pipeline network servicing the field. The project is tailored to increase the field’s production capacity while adhering to Algeria’s stringent carbon efficiency and industrial safety standards, reinforcing the country’s green transition targets and operational reliability.

This infrastructure upgrade aligns with Algeria’s long-term vision to enhance its energy export capabilities, especially in light of its growing strategic importance as a natural gas supplier to Europe, amid shifting global energy dynamics and rising demand for stable, non-Russian sources.

Speaking on behalf of Jereh Group, a company spokesperson emphasized the magnitude of the partnership: “This project showcases our robust technical capabilities and extensive experience in executing complex, high-value gas infrastructure developments. We are honored to support Sonatrach and the Algerian government in achieving their energy development ambitions.”

The Rourd Ennous field is a cornerstone of Algeria’s natural gas sector, boasting proven reserves of 370 billion cubic meters (approximately 13 trillion cubic feet) and a current production capacity of 48.3 million cubic meters per day (or 1.69 billion cubic feet per day). The new enhancements are expected to further bolster its productivity and reliability.

In addition to its operational scope, the agreement is also designed to deliver high-impact local economic benefits. The project is projected to generate hundreds of job opportunities for Algerian workers and foster significant knowledge transfer through capacity-building programs and technical training. Execution is slated to commence by late 2025, with phased development continuing through 2028.

This major contract also underscores the deepening strategic energy ties between Algeria and China. Jereh, ranked 130th globally in the 2024 ENR Top 250 International Contractors, has executed major infrastructure projects across the Middle East and Asia, including for national energy giants such as ADNOC and Kuwait Oil Company.

📡🌍 | About Dzair Tube Media Group | 🌍📡
━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━
📰 Dzair Tube is a trailblazer in Algerian digital journalism, delivering high-quality content in Arabic, French, and English. With more than 📈 500,000 daily clicks, it ranks among the most influential media platforms in the country.

🏆 Awarded the President of the Republic’s Prize for Professional Journalist in the Electronic Press category (🗓 October 22, 2022), Dzair Tube is widely recognized for its editorial excellence and integrity.

📱 Massive Digital Reach:
🔴 350,000+ YouTube subscribers
🔵 6 million+ followers across Facebook pages
📸 450,000+ Instagram followers

🎥 Operating from state-of-the-art studios, Dzair Tube broadcasts rich and diverse programming, including:
🗞 News | ⚽ Sports | 🎭 Entertainment | 🕌 Religion | 🎨 Culture

🗣️ Featuring interactive talk shows and exclusive interviews with prominent figures from politics, business, arts, and more, Dzair Tube serves as a key platform for public discourse and civic engagement.

📰 Its print sports daily, “Dzair Sport,” enjoys over 50,000 daily downloads via the official website—further cementing the platform’s multimedia leadership.

🎖️ Honored with the Media Leadership Award by the former Minister of Communication, Mohamed Laâgab, and celebrated at the Hilals of the Television awards, Dzair Tube continues to lead with innovation, influence, and impact.

━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━
🌐 Stay Connected:
🔗 Website: www.dzair-tube.dz
🔗 English: www.dzair-tube.dz/en
📲 Follow us on Facebook | Instagram | YouTube
━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━━