APS : Tuesday, 14 March 2017
ALGIERS- National Company POVAL, a subsidiary of public mechanical group, signed Tuesday, in Algiers, the Chinese company Shandong Kerui Well Control Equipment,
a memorandum of understanding (MoU) providing for the creation of a joint company for the production and marketing of petroleum equipment.
The MoU was signed by the CEO of Poval, Boualem Latreche Bouteldja, and the deputy chairman of the Chinese company Sun Qinghong, in the in the presence of minister of Industry and Mines, Abdesselam Bouchouareb.
Created according to the 51/49 percent share rule for foreign investments in Algeria, the new company will mainly manufacture oil production tool called wellhead, one of the most important equipment used in petroleum industry.
The company’s production, to be launched in 2018, will be intended to the national group Sonatrach.
Sonatrach is importing between 200 and 400 million dollars a year in wellhead, according to figures provided by Bouchouareb.
By virtue of the agreement, a plant will be set up in 2017 at the industrial site of Poval in Berrouaghia, Medea (91-km southwest of Algiers), in an area stretching over 47 hectares, and is due.