Algerian national oil and gas company Sonatrach and its partner Neptune Energy have announced the startup of the Touat natural gas project in Adrar, in south-western Algeria. The project was initially expected to come onstream in 2017 but has been delayed. It will now gradually ramp up its production and will start exports by mid-2019.
The Touat project is a Production Sharing Contract (PSC), which was launched in 2010 and developed by Sonatrach and Engie under the framework of the Groupement TouatGaz joint venture. Neptune Energy, which acquired a 70% stake in Engie's subsidiary Exploration & Production International (EPI) in February 2018, operates the project with a 65% interest, while Sonatrach holds the remaining 35%.
The Touat block includes 10 gas fields with proven and probable (2P) reserves estimated at 68.5 bcm of natural gas and 8.5 Mbbl of condensates. Gas production is expected to reach 450 mcf/d (12.7 mcm/d or 4.6 bcm/year), contributing to Algeria's plans to boost its natural gas production.