Algiers: Algeria's state energy firm Sonatrach and Italy's Eni have entered into a USD 1.35 billion, 30-year production sharing agreement for the Zemoul El Kbar site located in the Berkine Basin.
According to Kuwait News Agency, this strategic partnership underscores the companies' commitment to jointly explore and develop energy resources in the region.
Sonatrach's statement detailed that the investment for exploration and development at the site amounts to approximately USD 1.35 billion, with USD 110 million earmarked specifically for the exploration phase. The agreement outlines a work program that incorporates innovative technologies, including advanced digital solutions for field development and modern techniques aimed at enhancing production and recovering reserves.
The deal anticipates yielding up to 415 million barrels of oil, alongside 9.3 billion cubic meters of natural gas. Furthermore, Sonatrach and Eni have finalized a gas marketing agreement which outlines the terms for exporting dry gas from Zemoul El Kbar. Additionally, a framework agreement has been signed with Eni Corporate University to enhance the skills of Sonatrach employees through a dedicated training institution over the next three years.