Sonatrach, Sinopec sign $850-million partnership for hydrocarbon development in Algeria

Sonatrach and Sinopec International Energy Investment (HK) Holding Ltd. signed a new hydrocarbon production sharing contract for exploration and development work in Algeria with an expected overall investment of $850 million.

The signing comes after negotiations conducted within the framework of the memorandum of understanding signed on Mar. 3, 2024.

The aim of the partnership is to carry out a program of minimum research and appraisal work to develop hydrocarbons in the Hassi Berkane North perimeter, which lies between the provinces of Ouargla and El-Meniaâ and 80 km from Hassi Messaoud.

Sinopec has been present in Algeria since 2002 and operates with Sonatrach on Zarzaitine field to increase the recovery rate of crude oil reserves.