Contractors are expecting delays to the tendering process for Algeria’s Hassi Messaoud refinery project.

Companies were given three months Companies have been given three months to submit technical bids when the tender was issued in November 2017.

“It seems likely now that the bid deadline for technical submissions will be extended,” said one industry source.

The refinery project contract is estimated to be worth $2.5bn.

The Hassi Messaoud refinery is one of a series of five new refineries that were part of a single scheme announced by the Algerian government in 2013.

Under the original plans, each of the refineries was expected to have a capacity of between 60,000 and 100,000 barrels a day and a budget of $2-3bn.

In February last year, Sonatrach announced that it had awarded the design contract for three of the refineries, including the Hassi Messaoud refinery, to UK-based Amec Foster Wheeler’s division in Italy.

The other two refineries are due to be built at Tiaret in the northwest and at Biskra in the northeast.

Sonatrach decided that a single company would be asked to undertake the design work for the three refineries as they will all be designed to similar specifications.

Amec Foster Wheeler has since been acquired by UK-based Wood Group.

The refineries are intended to supply refined products to the domestic market, replacing imports.

Out of the five refinery projects that were originally announced in 2013 only two are currently active.

These are the Hassi Messaoud Refinery and the Tiaret Refinery. All of the rest are currently on hold.