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February 07, 2017 12:00 AM

Versalis, Algeria to study petrochemical plant

Shahrzad Pourriahi
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    Milan, Italy – Versalis and Algerian state energy company Sonatrach have signed a memorandum of understanding to carry out joint feasibility studies for an integrated petrochemicals complex to be built in Algeria.

    The agreement follows a cooperation agreement signed by Eni and Sonatrach in November 2016 and envisages the development of “one or a few world-scale industrial petrochemical facilities” in Algiers.

    The 26 Jan MoU was signed against the backdrop of recent announcements by Sonatrach that it is planning to venture into tire production.

    In an interview with Africa Business Communities in July 2016, Sonatrach VP for downstream activities Akli Remini said the company was negotiating with “foreign partners” the production of 5 million tires per year.

    Th new investment, he said, is part of “a broad programme launched by Sonatrach Group in the wake of a strategy to boost the group's raw material processing activities.”

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