Wedoany.com Report-Oct. 21, Egypt’s Petrojet has secured a preliminary contract worth $1 billion to develop the second phase of the Hassi Bir Rekaiz oil field project in Algeria, Egypt’s Ministry of Petroleum announced on Monday. The agreement marks a significant step in expanding Petrojet’s international presence and enhancing energy cooperation between Egypt and Algeria.

The Hassi Bir Rekaiz oil field is one of Algeria’s major upstream development projects aimed at boosting the country’s crude oil production capacity. The field is operated under a partnership that includes Algeria’s state-owned energy company Sonatrach and several international partners. Petrojet’s involvement in the project’s second phase reflects the company’s growing technical expertise and its ability to execute large-scale oil and gas infrastructure projects across the region.

Under the terms of the preliminary agreement, Petrojet will be responsible for a range of engineering, procurement, and construction (EPC) activities designed to expand the field’s production facilities. The scope of work includes the installation of new processing units, enhancement of surface facilities, and development of associated infrastructure to support increased output. The company is expected to begin initial preparations shortly, pending the finalization of contractual terms and technical approvals.

Petrojet, one of Egypt’s leading oil and gas service companies, has a long track record of executing energy projects both domestically and abroad. Its portfolio includes refining, pipeline construction, petrochemical plants, and offshore platforms. The company’s participation in Algeria’s energy sector underscores its capability to deliver complex engineering projects in North Africa and the Middle East, strengthening its position in regional markets.

The Hassi Bir Rekaiz project aligns with Algeria’s strategic goal to raise hydrocarbon production and optimize the development of its onshore reserves. Phase one of the project had previously focused on initial field development and infrastructure setup, while the second phase, led by Petrojet, is intended to expand production capacity and enhance operational efficiency.

Egypt’s Ministry of Petroleum highlighted the contract as part of the country’s broader effort to promote Egyptian expertise and services in international energy markets. The ministry stated that Petrojet’s growing participation in foreign projects contributes to Egypt’s reputation as a reliable engineering and construction partner in the oil and gas sector.

The new agreement also represents a milestone in bilateral cooperation between Egypt and Algeria in the field of energy and industrial development. Both countries have expressed interest in strengthening partnerships in upstream and downstream oil activities, as well as in infrastructure and energy services.

Petrojet’s involvement in the Hassi Bir Rekaiz second phase is expected to enhance its project portfolio and create further opportunities for collaboration with North African partners. Once completed, the project will contribute to Algeria’s efforts to sustain long-term oil production levels and improve energy sector efficiency.