Algeria entered into a deal with Total and ENI to conduct offshore exploration for oil and gas by studying deep waters in the Mediterranean off the Algeria coast. In the words of ENI CEO Claudio Descalzi “Together with Sonatrach and Total, we will have the opportunity to explore the deep water of the Algerian offshore, a virtually unexplored geological province”. Though the CEO of Total, Patrick Pouyanne was a bit pessimistic about the drive, seeing it as complicated because of the depth. The CEO of Sonatrach, Abdelmoumen Ould Kaddour expressed optimism, as it aims to increase the production of oil from Algeria.
Algeria is one of top three oil exporters in Africa, with 80 percent of its gas production going to Europe, Algeria remains one of the main gas supplier to Europe. However, oil and gas output have been declining and there is a strong drive to expand hydrocarbon operation, including offshore in the Mediterranean and tapping into shale gas in Sahara.
An offshore oil rig. Source: drillinginfo