Algeria’s state-run oil and gas company Sonatrach has signed a memorandum of understanding with Norway’s Statoil and BP Exploration (El Djazair) Limited, aiming to boost up upstream exploration activities in Algeria
Commenting on the deal, Sonatrach said in a statement that the MoU is expected to enable all the three companies to strengthen their previous partnership, and will help in searching potential oil exploration opportunities in the country.
After Abdelmoumen Ould Kaddour took over as CEO of Sonatrach in 2017, he focused on resolving disputes with international oil and gas companies and urged them to invest in the energy sector in North African country.
According to Reuter, with this move, Sonatrach is set to attract international businesses and secure investment and technology, thus increasing output in both oil and gas, which make up 97 per cent of state income.
In Algeria, BP and Statoil are jointly working with Sonatrach at the Tiguentourine gas plant in the region of In Amenas, located in eastern Algeria, 30km west of the Libya border.