Energy: Sontrach, Eni sign agreement to strengthen partnership

July 18th, 2018

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APS : Wednesday, 18 July 2018

ALGIERS- The CEO of the national hydrocarbon company Sonatrach Abdelmoumem Ould Kaddour and Executive Director of the Italian group ENI Claudio Descalzi signed Tuesday, in Milan, an agreement marking an additional step
for the strengthening of the partnership in the basin of Berkine, in synergy with the existing facilities of BRN (bloc 403) and MLE (bloc 405b), with the objective of executing a gas hub in the area, said a communiqué of Sonatrach.
This agreement is part of a draft agreement signed in April on the occasion of the holding of the “11th Scientific and Technical Days of Sonatrach,” held in Oran, said the source.
It aims at executing an ambitious revival programme of exploration and development activities in the area through the optimization of the existing synergies in line with those of the next achievement: the implementation of a 180km-line which will link in fast-track the assets of BRN with the facilities of MLE which will become the gas hub of the aforementioned basin.
Sonatrach and ENI agreed on commercial conditions for the year 2018-2019 in line with the gas market.
The two groups agreed to hold commercial negotiations to assess the extension of gas supply beyond the contractual due date in 2019 as part of the strengthening of their cooperation and partnership, added the source.