Algeria’s state energy giant Sonatrach has inked an $850 million contract with China’s Sinopec to boost hydrocarbon development and exploration.
The agreement, announced on Tuesday, marks a significant step in Algeria’s efforts to strengthen its energy sector and attract foreign investment.
Sonatrach CEO Rachid Hachichi revealed that negotiations are underway with seven international energy companies for further hydrocarbon contracts.
Among the potential partners are Italy’s Eni, France’s Total, U.S. firms Chevron and ExxonMobil, and an unnamed Swedish company.
The deal signals China’s growing presence in North Africa’s energy market, reinforcing Algeria’s role as a key oil and gas supplier.
Algeria’s state news agency reported that the government is prioritizing strategic partnerships to modernize the sector and expand production capabilities.
With vast untapped reserves, Algeria remains a crucial player in the global energy landscape, drawing interest from major international firms.
