Sonatrach CEO Leads High-Level Delegation to Oversee Progress on Strategic Hassi R’mel Gas Field Development

• Sonatrach CEO Leads High-Level Delegation to Oversee Progress on Strategic Hassi R’mel Gas Field Development

By Dr. Hana Saada

Hassi R’mel— The President and CEO of Algeria’s state-owned energy giant Sonatrach, Mr. Rachid Hachichi, conducted a working and inspection visit to the Hassi R’mel gas field in Laghouat Province, to assess progress on the third-phase, second-step development project aimed at boosting the productivity of one of the country’s most vital gas reservoirs.

The ambitious project, awarded to a consortium comprising Baker Hughes, Nuevo Pignone International, and Tecnimont under an Engineering, Procurement, and Construction (EPC) contract signed on May 23, 2024, is a cornerstone of Algeria’s strategy to reinforce its natural gas production capabilities.

Mr. Hachichi was accompanied by a distinguished delegation including Mr. Lorenzo Simonelli, CEO of Baker Hughes, and Mr. Paolo Borri, Chief Operating Officer of Tecnimont, along with senior executives from Sonatrach, the partner companies, and the heads of Sonatrach’s subsidiaries.

During the visit, the delegation attended a comprehensive technical presentation outlining the current status of the project, which has reached a 51% completion rate. The briefing covered key organizational and technical dimensions, including execution pace and adherence to contractual deadlines.

The delegation then toured the construction sites of the new compression facilities being built to enhance the Hassi R’mel gas field. These facilities include three gas compression units located in the central, northern, and southern stations, with a combined total of 20 turbo compressors. Additional work involves the reconfiguration of the existing gas gathering network and the installation of mercury removal units.

Mr. Hachichi and the accompanying delegation also reviewed the logistical infrastructure and supporting technical facilities integral to this strategic project. Once operational, the project is expected to maintain production at a stable rate of 188 million cubic meters per day. Moreover, it will enable the recovery of an estimated 121 billion cubic meters of additional dry gas reserves, alongside 7 million tons of condensates and 3 million tons of liquefied petroleum gas (LPG).

The projected timelines for completing the compression units at the central, northern, and southern stations are 33, 36, and 39 months, respectively. The phased commissioning of these units is scheduled to begin in October 2026, followed by January 2027 and April 2027.

This large-scale infrastructure development is critical to mitigating the natural depletion of Algeria’s flagship gas field while ensuring sustainable production levels. It also serves to meet domestic energy needs and honor Algeria’s export commitments to international partners. Strategically, the project further consolidates Sonatrach’s position as a reliable partner and a major global energy supplier.