Algeria's Sonatrach pulls out of plant project with Total

Algerian state petrochemical group Sonatrach has decided to pull out of a 2007 deal with French energy giant Total to build a $5 billion ethane steam-cracking plant, knowledgable sources said Tuesday.

The Maghreb Emergent website said Sonatrach was withdrawing because it would not agree to Total's demands for a reduced price for the ethane to be delivered under the deal.

Sources close to the matter confirmed that to AFP.

Sonatrach is now seeking a new partner for the venture, the sources added.