Westport to supply LPG systems to Algerian firm
02 November 2021
Westport Fuel Systems Inc. announced the award of a tender issued by Naftal, a branch of Sonatrach, the national Algerian Oil & Gas company. Westport will supply 60,000 liquefied petroleum gas (LPG) systems over the next 18 months with related spare parts for a total value of about €9 million (US$10.42 million).
Westport said this new tender will further strengthen the strong relationship between it and Naftal. Over the last six years, Westport said it has supplied over 120,000 LPG kits to Naftal, furthering the company’s commitment to providing affordable fuel systems to emerging markets.
Algeria is strongly supporting the growth of autogas (LPG for automobiles) which has been selected by the Algerian Government as the strategic fuel for the future of the country. LPG is an abundant national resource in Algeria, broadly available through a network of nearly 1000 refuelling stations. According to Naftal statistics, Algeria has more than 650,000 LPG vehicles, representing 10% of the total passenger car population (as of June 2021), making Algeria among the largest users of LPG vehicles in Africa.
“This order solidifies the strong partnership between Westport Fuel Systems and Naftal while highlighting our technology capabilities and the high quality of our products,” said David M Johnson, chief executive officer of Westport Fuel Systems. “We are proud to serve the Algerian national strategic plan to expand the LPG use,”
To support the use of LPG for automobiles, the Algerian government is covering 50% of conversion costs by a national incentive granted through a dedicated network of conversion workshops. The new Naftal tender will be part of a broader program to expand the use of LPG as an alternative to gasoline and diesel, with a view to energy efficiency and preserving the environment.
The Algerian government has plans to add 600 LPG Autogas retail stations in addition to the 1000 already in operation. This will represent a 75% increase of Naftal gas stations in Algeria equipped with LPG by 2023.