UK-based international energy services company Petrofac has introduced hydrocarbons to the Tinrhert field’s upgraded central processing facility (CPF) and started production at its new units for the first time.

Petrofac was awarded the contract for the CPF in August 2018 by Algeria's state-owned oil and gas company Sonatrach.

Petrofac said the development, when complete, will boost natural gas production capabilities for both local and export markets, enabling in-country economic growth.

The contract awarded to Petrofac was worth $600m and forms part of a larger field development project estimated to be worth $1.7bn.

The project is located in Ohanet, around 1,500 kilometres southeast of Algiers. Petrofac’s scope of work has included a new inlet separation and compression centre, extending the existing CPF, which the company was involved in delivering in 2002.

Petrofac added: “The centre will remove carbon dioxide and mercury from the field’s gas reserves, so the gas is within specifications for the global market.”

The second part of the project involves the construction of a pipeline network of approximately 400km to connect 36 new wells, along with commissioning, start-up and performance testing of facilities.

Manish Bhojwani, Petrofac’s Algeria country manager, said: “The introduction of first gas is a significant step in bringing the project online.

“The teams are now focused on full start-up as we head towards a safe completion.

“We’re proud that this continues to build on our successful track record. Petrofac has been working to support Algeria’s oil and gas production for more than two decades since our first major contract, the original development here in Ohanet, in 2000.”

Over recent months, there has been increased interest in Algerian oil and gas assets as European nations look to replace hydrocarbon imports from Russia with hydrocarbons from North Africa.

In July, Sonatrach announced three hydrocarbon discoveries: two gas discoveries made through its own operations, and an oil discovery made in partnership with Italian energy major Eni.