Oil & Gas

The Algerian gas turbine plant has taken a significant step forward, marking a first in Africa and adding to its achievements by securing a substantial share of the exports for a crucial component of power plants. This milestone comes as the Sonelgaz complex recently signed an agreement with the American company General Electric, aimed at expanding their joint venture "GE Algeria Turbines-Gyat."

The new agreement is focused on enhancing the capabilities of the Algerian gas turbine plant by producing equipment for high and very high voltage electrical centers. The signing ceremony, which took place at the Sonelgaz headquarters, was overseen by Sonelgaz CEO Mourad Ajal and attended by a delegation of GE officials, led by Joseph Anis, the Executive Director of Energy Services for South Asia, the Middle East, and Africa.

This move is seen as crucial for Sonelgaz, as it will allow them to meet the needs of their companies regarding high and very high voltage electrical center equipment, achieving self-sufficiency and potentially exporting this equipment in the future. The project is hailed as the first of its kind in Africa and will diversify the products of the Algerian gas turbine plant, enabling it to manufacture electrical transformers for high and very high voltage, initially meeting local needs before expanding to exports by 2026.

Ajal emphasized the increasing demand for such equipment due to major investment projects at the national level, highlighting the importance of local manufacturing to avoid reliance on international markets and mitigate high costs in hard currency. Sonelgaz needs approximately 100 high- and ultra-high-voltage equipment annually to address national interconnection demands.

The agreement with GE is viewed as a significant phase in cooperation between the two parties, following the success of the Algerian gas turbine phase. Algeria's gas turbine industry is expected to grow, with more deals anticipated after the completion of the fourth shipment of gas turbine spare parts to the Netherlands to meet the needs of GE International.

This development reflects efforts to develop Algeria's energy industry and enhance its global presence, with Sonelgaz aiming to leverage exports as a key driver of economic growth, contributing to diversifying sources of hard currency and reducing the import bill.