The $2bn project to develop the Ain Tsila gas condensate field in Algeria’s Illizi province is facing delays, according to industry sources.

Sources say the delays are connected to the replacement of the project manager and adjustments to the scope of the project.

In November, technical bids were submitted for the engineering, procurement, and construction (EPC) contract to develop the field.

The companies that submitted bids for the deal are:

• A joint venture of Dubai-based Dodsal and Italy-based Maire Technimont
• A joint venture of Spain-based Técnicas Reunidas and Italy-based Bonatti
• UK-based Petrofac

Italian energy company Enel has an 18.375 per cent stake in the asset, with Ireland-based Petroceltic holding 38.25 per cent and state-owned Sonatrach holding a 43.375 per cent stake.

The three companies operate on the project through a joint venture called Groupement Isarene. According to the front-end engineering and design (feed) work carried out by the US’ Chicago Bridge & Iron (CBI), the surface facilities will process up to 420 million cubic feet a day (cf/d) of wet gas.

The facilities will also transport the streams of dry gas, liquefied petroleum gas (LPG) and condensate to existing tie-in points in the Algerian national pipeline grid.

The Ain Tsila gas field is located in the Illizi basin, within the Isarene permit in Blocks 228 and 229a. Enel acquired its stake in the asset from Petroceltic in 2011. A gas sales agreement was signed with Sonatrach in 2014, and the design work was started in October 2014. The total acreage covered under the licence is is 3,050 kilometres.

The Ain Tsila is one of a number of large oil and gas projects that is suffering from delays in Algeria at the moment. Sonatrach's $2.5bn Hessi Messaoud Refinery project has also stalled over recent months.