{"id":714,"date":"2014-01-31T13:17:21","date_gmt":"2014-01-31T13:17:21","guid":{"rendered":"http:\/\/algerienetwork.com\/usa\/?p=714"},"modified":"2014-01-31T13:17:21","modified_gmt":"2014-01-31T13:17:21","slug":"sonatrach-total-and-cepsa-to-move-on-algeria-timimoun-project","status":"publish","type":"post","link":"https:\/\/algerienetwork.com\/international\/sonatrach-total-and-cepsa-to-move-on-algeria-timimoun-project\/","title":{"rendered":"Sonatrach, Total and Cepsa to move on Algeria Timimoun project"},"content":{"rendered":"

Sonatrach to increase CAPEX by 50% in 2013
\n<\/a><\/h3>\n

In\u00a0November 2012,\u00a0Sonatrach<\/a>, the Algeria\u00a0national oil company<\/a><\/strong>\u00a0announced toincrease its capital expenditure<\/strong>\u00a0from the actual\u00a0$10 billion in 2012 to $15 billion in 2013.<\/strong><\/p>\n

This\u00a0first step<\/strong>\u00a0is part of the\u00a0new program<\/strong>\u00a0of\u00a0oil and\u00a0gas<\/a>\u00a0projects<\/strong>\u00a0in which\u00a0Sonatrach<\/a><\/strong>\u00a0is planning to\u00a0invest up<\/strong>\u00a0to\u00a0$80 billion on the next five years<\/strong>.<\/p>\n

Based in\u00a02010<\/strong>\u00a0numbers,\u00a0Algeria<\/strong>\u00a0is the\u00a0fourth largest crude oil producer in Africa<\/strong>\u00a0and\u00a0fourth largest exporter for\u00a0natural gas<\/a><\/strong>\u00a0after Russia, Qatar and Norway.<\/strong><\/p>\n

Algeria<\/strong>\u00a0is member of\u00a0OPEC<\/strong>\u00a0and as such must respect the\u00a0production quotas for the crude oil.<\/strong><\/p>\n

\"\"<\/a><\/p>\n

But as\u00a0large producer of\u00a0natural gas<\/a><\/strong>,\u00a0Algeria can develop its\u00a0natural gas liquids (NGL)<\/a>\u00a0and export them withou<\/strong>t limitation.<\/p>\n

In addition\u00a0Algeria domestic consumption<\/strong>\u00a0ofnatural gas<\/a><\/strong>\u00a0increases constantly<\/strong>, so that\u00a02,000 MW of gas-fired power plant<\/strong>\u00a0should be installed on the\u00a0next two years.<\/strong><\/p>\n

The\u00a0gas<\/a><\/strong>\u00a0to used for the\u00a0supply of the power generation<\/strong>\u00a0will\u00a0be taken out of the export of the country<\/strong>, unless\u00a0Sonatrach<\/strong>\u00a0will manage toincrease production accordingly<\/strong>.<\/p>\n

On the actual trend,\u00a0Algeria export o<\/strong>f\u00a0natural gas<\/a><\/strong>\u00a0will decline until 2017\u00a0<\/strong>that the\u00a0new\u00a0upstream<\/a>projects<\/strong>\u00a0get developed and entered intocommercial phase<\/strong>\u00a0to\u00a0compensate the consumption increase<\/strong>.<\/p>\n

In parallel, Algeria<\/strong>\u00a0is planning\u00a0petrochemicals<\/a>\u00a0complex and\u00a0fertilizers<\/a>\u00a0plants<\/strong>\u00a0on the\u00a0north of the country<\/strong>\u00a0toreduce its reliance on crude oil and\u00a0natural gas<\/a>\u00a0export.<\/strong><\/p>\n

But these\u00a0giant projects<\/strong>\u00a0are also depending on the\u00a0gas<\/a><\/strong>\u00a0supply.<\/p>\n

Total Timimoun to unlock Sahara untapped reserves<\/h3>\n

After some changes in the management,\u00a0Sonatrach<\/a><\/strong>\u00a0is now keen to\u00a0revitalize projects<\/strong>\u00a0left on hold for a couple of years such as the\u00a0Timimoun project<\/strong>\u00a0in\u00a0joint venture<\/strong>\u00a0with\u00a0Total<\/a>\u00a0from France and\u00a0Cepsa<\/a>\u00a0from Spain<\/strong>.<\/p>\n

For the\u00a0Timimoun project,\u00a0Sonatrach<\/a><\/strong><\/strong>\u00a0and its partners are associated through the\u00a0Groupement Timimoun (GTIM)<\/strong>\u00a0where they share the working interests:<\/p>\n

–\u00a0Sonatrach<\/a><\/strong>\u00a051% is the operator<\/strong><\/p>\n

\u00a0–\u00a0Total<\/a><\/strong>\u00a037.75%<\/strong><\/p>\n

\u00a0– Cepsa 11.25%<\/strong><\/p>\n

In parallel to the\u00a0GTIM joint venture<\/strong>, the partners signed an\u00a0agreement with\u00a0Sonatrach<\/a><\/strong><\/strong>\u00a0for the commercialization of the\u00a0natural gas<\/a><\/strong>\u00a0and\u00a0related\u00a0condensate<\/a>.<\/strong><\/p>\n

Timimoun<\/strong>\u00a0is a\u00a0non conventional\u00a0<\/a>gas<\/a><\/strong>\u00a0project<\/strong>\u00a0covering\u00a02500 square kilometers<\/strong>\u00a0with\u00a0eight different plays<\/strong>located in the\u00a0center of Algeria,<\/strong>\u00a01,250 kilometers south of Alger in between Timimoun and Adrar cities.<\/strong><\/p>\n

\"\"<\/a><\/p>\n

Timimoun project<\/strong>\u00a0had been\u00a0awarded officially<\/strong>\u00a0in\u00a02009 to\u00a0Sonatrach<\/a><\/strong>,\u00a0Total<\/a><\/strong>\u00a0and\u00a0Cepsa<\/a><\/strong><\/strong>\u00a0by the\u00a0national agency ALNAFT (Agence alg\u00e9rienne nationale pour la valorisation des ressources en hydrocarbures).<\/strong><\/p>\n

The\u00a0Timimoun development<\/strong>\u00a0was planned tostart in following in 2010<\/strong>, before\u00a0being stopped and shelved until now.<\/strong><\/p>\n

In the meantime,\u00a0Sonatrach<\/a><\/strong>\u00a0and its partners<\/strong>completed the basic engineering phase<\/strong>, so that the\u00a0Timimoun project<\/strong>\u00a0should include:<\/p>\n

–\u00a0\u00a040 wells to tap the eight structures over an area of 2, 500 square kilometers<\/strong><\/p>\n

\u00a0– Gas gathering system<\/strong><\/p>\n

\u00a0– Gas central processing facilities<\/strong><\/p>\n

\u00a0– Connection to the export pipeline<\/strong><\/p>\n

Sonatrach<\/strong>\u00a0is in charge to build the\u00a0export pipeline<\/strong>\u00a0to link the\u00a0Timimoun facilities<\/strong>\u00a0to the\u00a0Hassi Rmel hub<\/strong>,\u00a0600 kilometers north<\/strong>.<\/p>\n

Timimoun<\/strong>\u00a0is designed to produce at\u00a0plateau production 1.6 billion cubic meters per year (160 million cf\/d)<\/strong>\u00a0ofnatural gas<\/a><\/strong>\u00a0during a\u00a0period of eight years.<\/strong><\/p>\n

In\u00a02012, the engineering service company CGGVeritas<\/strong>\u00a0performed the\u00a03D seismic data acquisition<\/strong>\u00a0to provideTotal<\/a><\/strong>,\u00a0Sonatrach<\/a><\/strong>\u00a0and\u00a0Cepsa<\/a><\/strong><\/strong>\u00a0with\u00a0detailed vision of the reservoirs.<\/strong><\/p>\n

Sonatrach<\/a><\/strong>\u00a0and its partners are planning to\u00a0invest $1.5 billion capital expenditure<\/strong>\u00a0in the\u00a0Timimoun project<\/strong>with the\u00a0engineering, procurement and construction (EPC)<\/a>\u00a0phase<\/strong>\u00a0to\u00a0begin in 2013, for a first production in 2016.<\/strong><\/p>\n

source<\/strong><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Sonatrach to increase CAPEX by 50% in 2013 In\u00a0November 2012,\u00a0Sonatrach, the Algeria\u00a0national oil company\u00a0announced toincrease its capital expenditure\u00a0from the actual\u00a0$10 billion in 2012 to $15 billion in 2013. This\u00a0first step\u00a0is part of the\u00a0new program\u00a0of\u00a0oil and\u00a0gas\u00a0projects\u00a0in which\u00a0Sonatrach\u00a0is planning to\u00a0invest up\u00a0to\u00a0$80 billion on the next five years. Based in\u00a02010\u00a0numbers,\u00a0Algeria\u00a0is the\u00a0fourth largest crude oil producer in Africa\u00a0and\u00a0fourth largest […]<\/p>\n","protected":false},"author":1,"featured_media":2463,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"tdm_status":"","tdm_grid_status":"","footnotes":""},"categories":[42,49],"tags":[],"class_list":{"0":"post-714","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-diaspora","8":"category-news-diaspora"},"_links":{"self":[{"href":"https:\/\/algerienetwork.com\/international\/wp-json\/wp\/v2\/posts\/714","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/algerienetwork.com\/international\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/algerienetwork.com\/international\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/algerienetwork.com\/international\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/algerienetwork.com\/international\/wp-json\/wp\/v2\/comments?post=714"}],"version-history":[{"count":0,"href":"https:\/\/algerienetwork.com\/international\/wp-json\/wp\/v2\/posts\/714\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/algerienetwork.com\/international\/wp-json\/"}],"wp:attachment":[{"href":"https:\/\/algerienetwork.com\/international\/wp-json\/wp\/v2\/media?parent=714"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/algerienetwork.com\/international\/wp-json\/wp\/v2\/categories?post=714"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/algerienetwork.com\/international\/wp-json\/wp\/v2\/tags?post=714"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}