Page 12 - AfrOil Week 41 2021

AfrOil PROJECTS & COMPANIES AfrOil

Sonatrach, Renaissance sign three

contracts on joint polypropylene plant

ALGERIA ALGERIA’S state oil firm Sonatrach and the polypropylene production under a long-term
Turkish firm Renaissance (Rönesans Holding) contract linked to international prices. This con-
have signed three contracts related to the devel- tract provides for the delivery of 550,000 tonnes
opment of a polypropylene production facility per year (tpy) of propane until 2040.
in the Turkish port of Ceyhan. The new facility is slated to turn out 450,000
In a statement, Sonatrach said the deals tpy of polypropylene. As such, it will allow Tur-
would support the construction of the facil- key to reduce polypropylene imports by 20%
ity, which will turn out polypropylene for use while also tripling domestic production levels.
by manufacturers of automobiles, textiles and The plant will rely on renewable energy
other goods. The cost of building the new plant sources, primarily hydroelectric power plants
is slated to reach $1.4-1.7bn, and 70% of project (HPPs), for 80% of its electricity consumption.
costs will be financed with loans from interna- According to Turkish press reports, it will also
tional banks.. turn out hydrogen. ™
One of the contracts between the companies
concerns engineering, equipment, construc-
tion and commissioning work on the project.
Another contract concerns periodic mainte-
nance services for materials and equipment,
while a third is dedicated to sales and marketing
services.
Sonatrach and Renaissance set up a joint
company for the project two years ago and have
already carried feasibility studies. They are now
hoping to begin construction in the near future
and aim to finish the plant in 2025.
Renaissance has a stake of 66% in the joint
company, while Sonatrach owns the remaining
34%. The Algerian firm has agreed to supply the
plant with feedstock – namely, propane – for Rendering of Ceyhan polypropylene plant (Image: Renaissance)

NGO accuses ReconAfrica of

disrupting local communities

NAMIBIA TORONTO-LISTED Reconnaissance Africa of the alleged damage in its statement.)
Energy, known as ReconAfrica, has come under FFN also argued that the Canadian firm’s
fire from a local non-governmental organisation seismic operations violated the environmental
(NGO) called Frack Free Namibia (FFN). clearance certificate issued by the Namibian
In a statement issued last week, FFN alleged government in July 2021. ReconAfrica has failed
that ReconAfrica’s exploration activities had dis- to uphold its obligations to work along existing
rupted local communities in the Kavango basin. cutlines – that is, to follow existing roads, paths,
Specifically, it charged that the thumper trucks trails or other developed areas where vegetation
that ReconAfrica was using to collect 2D seismic has already been cleared – and should therefore
data from its licence area had damaged residen- have its permits revoked, it asserted.
tial facilities in the area. “These promises were made to the Kavango
“Residents have reported that the thumping East region, the San communities and to the
has already caused cracks and permanent struc- government. ReconAfrica has not kept its prom-
tural damage to homes,” the NGO said in a state- ises, and it’s now damaging the environment,”
ment dated October 5. (It included photographs the NGO said in its statement.

P12 www. NEWSBASE .com Week 41 13•October•2021