Saipem builds gas pipeline to Arzew

15 November 2007

Saipem, a subsidiary of Italy’s Eni, signed a $500 million contract on 5 November to build a liquefied petroleum gas (LPG) pipeline between the Hassi R’Mel gas field and Arzew in the north-west.

The contract involves building a 505-kilometre-long, 24-inch-diameter pipeline, a pumping station at Hassi R’Mel, a pressure regulator at Sougueur near Tiaret, a metering terminal at Arzew and 200 kilometres of fibre-optic cables.

The pipeline, known as LZ2, will link up with Arzew’s two main LPG complexes - GL1Z and GL2Z - and over time will replace the existing pipeline, LZ1. The project is part of the efforts of state energy company Sonatrach to improve the safety and security of its infrastructure.

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