Saipem: Awarded a Contract by Sonatrach for the Execution of the Front End Engineering Design for the Phosphate Integrated Project in Algeria

In June, Saipem announced that the company had been awarded a FEED (Front End Engineering Design) contract by Sonatrach, related to the Phosphate Integrated project for fertiliser production in Algeria.

The contract was awarded through a competitive dual FEED process, which provides for design work to be conducted by both Saipem and a competing operator. Sonatrach will then select the best technical and economic solution between the two and will proceed with the direct award of the EPC (Engineering, Procurement and Construction) contract for the execution of the designed project.

The awarded dual FEED contract includes the front-end engineering services for the design of a new industrial complex, consisting of the phosphate mining infrastructure in the Bled El Hadba area, and process and ancillary units supporting fertiliser production in the Oued Keberit area. The scope of work also includes the upgrading of the Annaba port for the products export and the construction of railway sections connecting the extraction and production facilities to the main railway line.

This is the first integrated project in Algeria in the field of mining extraction and fertiliser production. It will contribute to diversifying the Algerian economy and strengthening the country's position in the global fertiliser market. Once operational, the plants will be capable of extracting 10 million tonnes of phosphate and producing 6 million tonnes of fertilisers annually.

Saipem has been present in Algeria since 1968 and has, over time, developed infrastructure for hydrocarbon treatment and transportation, power generation plants, as well as oil well drilling. The award of this contract thus marks the beginning of a new phase for Saipem in a country and with a client historically strategic for the company. Additionally, it confirms Saipem’s positioning in the integrated fertiliser project sector, thanks to a unique combination of engineering and technological expertise in infrastructure and processing systems.

Saipem is a global leader in the engineering and construction of major projects for the energy and infrastructure sectors, both offshore and onshore. Saipem is “One Company” organised into business lines: Asset Based Services, Drilling, Energy Carriers, Offshore Wind, Sustainable Infrastructures, Robotics & Industrialised Solutions. The company has 6 fabrication yards and an offshore fleet of 17 owned construction vessels and 14 drilling rigs, of which 9 are owned. Always oriented towards technological innovation, the company’s purpose is “Engineering for a sustainable future”. As such, Saipem is committed to supporting its clients on the energy transition pathway towards Net Zero, with increasingly digital means, technologies and processes geared for environmental sustainability. Listed on the Milan Stock Exchange, it is present in over 50 countries worldwide and has 30 thousand employees of 130 different nationalities.