Budget approved for Maghreb gas link

28 July 2006
Joint Gas Company (JGC), a 50:50 joint venture of Libya's National Oil Corporation and Tunisian state oil company Entreprise Tunisienne d'Activites Petrolieres (ETAP) has approved the estimated $250 million budget for the proposed 285-kilometre gas pipeline project from Melitah in Libya to Gabes in Tunisia (MEED 28:4:06).

The investment will comprise: $100 million for the procurement of a 26-inch-diameter line pipe; $80 million for gas turbines, compressors, slug catchers and launchers; and $70 million for pipeline construction.

A number of companies have already expressed interest in the project and a tender is expected to be issued by the end of the year. Engineering and construction work will take about 18 months. The UK's Penspen International is the project management consultant (PMC). Front-end engineering and design (FEED) was carried out by France's Sofregaz.

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