New Sonatrach CEO: Foreign Partnerships Essential

Wednesday, May 1, 2019

Algeria's state energy company Sonatrach wants to develop its partnerships with foreign firms to boost output and exports, its new chief executive said on Wednesday, comments that could reassure investors a week after his appointment.

Algeria, a member of the Organization of the Petroleum Exporting Countries and a major gas supplier to Europe, has struggled to lift production to meet rising domestic demand, while foreign investors have often balked at contract terms.

Rachid Hachichi, Sonatrach's former head of production and exploration, was named chief executive on April 23, replacing Abdelmoumene Ould Kaddour.

"Our group will continue to develop partnerships with foreign firms seeking to invest in Algeria," he said in a message to mark Labour Day, the state news agency reported

"Partnerships are an essential element in our development strategy, especially in the field of production and exploration," he said.

The former CEO had been seeking to make Algeria more attractive to foreign investors by resolving a series of disputes with oil majors including France’s Total, Italy’s ENI and Spain’s Repsol.

Sonatrach has a deal with Britain's BP and Norway's Equinor to develop Algeria's shale gas reserves, but industry sources said in March that talks with Exxon Mobil on developing a gas field had stalled.

Algeria produces an estimated 1 million barrels per day of crude and 135 billion cubic metres a year of gas. Oil and gas account for 94 percent of Algeria's total exports and 60 percent of the state revenues.


(Reporting by Hamid Ould Ahmed Editing by Edmund Blair)

Categories: Energy Production Natural Gas Africa

Related Stories

Malaysia’s Petronas and Oman’s OQEP Strengthen Oil and Gas Ties

US Pressure on India Could Propel Russia's Shadow Oil Exports

Pakistan, Türkiye Deepen Oil and Gas Ties with Offshore Indus-C Block Deal

Vietsovpetro Brings BK-24 Oil Platform Online Two Months Early

Ventura Offshore’s Semi-Sub Rig to Keep Drilling for Eni in Asia

SBM Offshore, SLB to Optimize FPSO Performance Using AI

Brownfield Output Decline Accelerates, says IEA

Norwegian Oil Investment Will Peak in '25

China Starts Production at Major Oil Field in Bohai Sea

CNOOC Finds Oil and Gas in South China Sea

Current News

Malaysia’s Petronas and Oman’s OQEP Strengthen Oil and Gas Ties

Southeast Asia’s 2GW Cross-Border Offshore Wind Scheme Targets 2034 Buildout

Pharos Energy Kicks Off Drilling Campaign Offshore Vietnam

Viridien to Shed More Light on Malaysia’s Offshore Oil and Gas Potential

US Pressure on India Could Propel Russia's Shadow Oil Exports

Energy Drilling’s EDrill-2 Rig Starts Ops for PTTEP in Gulf of Thailand

RINA Wins FEED Contract for Petronas’ Flagship CCS Project in Malaysia

ABL Secures Rig Moving Assignment with India's ONGC

Pakistan, Türkiye Deepen Oil and Gas Ties with Offshore Indus-C Block Deal

Eni-Petronas Gas Joint Venture Up for Launch in 2026

Subscribe for AOG Digital E‑News

AOG Digital E-News is the subsea industry's largest circulation and most authoritative ENews Service, delivered to your Email three times per week

https://accounts.newwavemedia.com