Italy’s Eni and Algeria’s Sonatrach have signed a series of agreement to collaborate in a number of oilfield projects and ramp up the North Africa country’s oil and gas production
Both the companies agreed to increase oil and gas exploration activities in Algeria, with an improved operational efficiency and in a cost-effective way.
According to Eni, the ambitious exploration programme in the Berkine basin is important in the context of booming oil and gas drilling activities in eastern Algeria. This is considered to meet the rising demand for petroleum products in the country. In addition, the Berkine basin is set to explore new gas reserves through the use and optimisation of existing infrastructures, said Eni reporting to the press.
Commenting on the new agreements, Claudio Descalzi, CEO of Eni, commented, “The renewed collaboration between our companies, enshrined in today's agreements, allows Eni to make a further important step forward in a key country like Algeria and to consolidate further our strategic partnership with Sonatrach.”
“Furthermore, the forthcoming construction of a renewable energy laboratory and of a photovoltaic plant at the BRN production site is another step in Eni's decarbonisation process. This process includes the development of green businesses through increased commitment to renewable energy sources and to scientific and technological research,” he further added.
Both Eni and Sonatrach have strong footprints in Algeria’s oil and gas exploration and production landscape. Apart from its operational bases in Algeria, the state-run oil and gas company Sonatrach holds 45 per cent stakes in the 4,400km onshore Trans Saharan Gas pipeline, running from Nigeria to Algeria, which is estimated as the longest planned gas pipeline in Europe, the Middle East and Africa (EMEA), according to GlobalData.
