JOHANNESBURG – Algerian state-owned energy company Sonatrach has signed an agreement with BP and Statoil to produce an additional 11-billion cubic metres of natural gas from its Tiguentourine gas field, Sonatrach's CEO said on Wednesday.
The field produces 9-billion cubic metres per year, but more investment is needed to maintain that output beyond 2035.
"Sonatrach, British Petroleum, and Statoil have signed a deal to invest $500 million to recover an 11-billion cubic metre additional reserve," Sonatrach CEO Abdelmoumene Ould Kaddour told reporters during a signing ceremony at Sonatrach's headquarter.
The field has produced 78-billion cubic metres of gas involving an investment of $3.4-billion since opening in 2006, Sonatrach figures show.
Algeria's annual gas production stands at 94-billion cubic metres, according to official figures.