Montreal's SNC-Lavalin, an engineering and construction group, has awarded Kuehne + Nagel a contract for global logistics services related to its EUR785 million (US$963.05 million) project with Sonatrach, Algeria's national oil and gas company.

Sonatrach's gas treatment complex is being built in Rhourde Nouss in the Sahara Desert, 1,200 kilometres south east of Algiers, to collect raw gas at different gas fields and includes a natural gas processing facility. The project is expected to be completed in early 2012, a statement from Kuehne + Nagel said.

The agreement between Kuehne + Nagel and SNC-Lavalin covers the complete logistics services for the construction material and equipment in connection with the project, originating from different locations in Europe, Asia and North America.

Kuehne + Nagel is delivering the services in cooperation with its Tunisian partner SMTI-Transport & Logistics, a contractor for project services and heavy haulage operations in the Maghreb region.

"The signing of this contract is a further milestone in our strategy to expand our integrated logistics services for the global oil and gas industry," said Nils Wolf, Kuehne + Nagel's senior vice president for Global Project Logistics.

"On the basis of our complex and fine-meshed global logistics network and our state-of-the art IT-solutions we will combine our in-depth forwarding know-how and our long-standing experience in this specific industry to contribute to the success of SNC-Lavalin in Algeria," he added.

Source: shipping online