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Algeria Oman Fertiliser Complex, Algeria

Key Data

During May 2007 Algeria's Sonatrach and Oman's Suhail Bahwan Group Holding announced that they had signed a partnership contract to build an ammonia/urea fertiliser complex.

The company; Algeria Oman Fertiliser Company (El Djazairia El Omanina Lil Asmida SPA) is investing $2.4bn to build a large-scale fertiliser complex in Algeria's Arzew Industrial zone, near Oran, the country's second largest city.

"The complex will produce 4,000tpd of ammonia, almost all of which will be converted into urea."

It is said that the facility will be world's largest fertiliser complex to be delivered in a single phase. The site for the project is located on the coastline in the industrial area of Arzew, in western Algeria.

Natural gas for the project is already committed by Sonatrach under a long-term arrangement.

Due on-stream in the middle of 2012, the complex will produce 4,000tpd of ammonia, almost all of which will be converted into urea using two plants producing 3,500tpd each of urea. Supporting facilities will also be built.

The entire output of the plant is expected to be exported globally.

Engineering, procurement and construction (EPC) contract

During April 2008, Japan's Mitsubishi Heavy Industries (MHI), in partnership with Korea's Daewoo Engineering & Construction, was awarded the EPC contract for the fertiliser complex. MHI said that based on the EPC contract, and as leader of the consortium, it would be responsible for basic and detailed design work, equipment procurement and dispatch of technical advisors for building and test operation.

Daewoo Engineering & Construction will take charge of the construction work. The value of the contract was not disclosed.

Process technology

Haldor Topsoe, is providing its process technology for the ammonia production plants. The contract was awarded in May 2008. Haldor Topsoe commented that it saw the contract award as an "important milestone for the coming increased requirement for fertilisers worldwide".

Based in Denmark, Haldor Topsoe is a specialist in the development and use of catalysts. The company says that its ammonia synthesis catalysts are installed in more than half of the world's ammonia converters.

Urea process technology is being supplied by Italy's Snamprogetti, while Germany's Uhde Fertiliser Technology is supplying its urea granulation process technology.

"The new complex is expected to contribute substantially to Algeria's economic development."


Algeria is the world's fourth-largest producer of natural gas and also produces high-quality light crude oil. Exporting these natural resources, the country has earned significant foreign currency.

In recent years Algeria has been promoting the production of high-value-added products from these resources to foster its own industries, and the large-scale complex on order figures among the country's initiatives for this purpose.

As demand for fertiliser is expected to continue expanding steadily due to rising food production in response to global population growth, the new complex is expected to contribute substantially to Algeria's economic development.

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