Signing of agreements between Cepsa and Sonatrach
- The agreements were signed yesterday by Cepsa’s CEO, Pedro Miró, and Sonatrach’s CEO, Amin Mazouzi
- Agreement confirms excellent long-standing relations between Cepsa and Sonatrach, and the UAE, Algeria and Spain
- New deals have particular relevance to oilfield contracts in Algeria, and potential to study other opportunities beyond upstream sector
- Present in Algeria for the past 30 years, Cepsa has maintained its E&P activities there over that time without interruption
Cepsa and Sonatrach signed agreements on Tuesday in Argel that consolidate the collaboration between the two companies to continue working in the long-term future in its existing projects. The signature also sees the companies agree to assess other opportunities to collaborate beyond the upstream sector, taking advantage of Cepsa’s integrated business model.
Within the framework of these agreements signed by Cepsa’s CEO, Pedro Miró, alongside his counterpart from Sonatrach, Amin Mazouzi, the excellent relationship between both Cepsa and Sonatrach was underlined, and also between the United Arab Emirates, where Cepsa’s sole shareholder IPIC is based, Algeria and Spain.
Both companies have also signed a Memorandum of Understanding (MOU) to study collaborating on new opportunities in other business areas where both companies share interests, as much in Algeria as in other countries.
The main objective of these agreements is to consolidate the historic collaboration between Sonatrach and Cepsa. The oilfield of RKF, located in the Berkine basin to the East of the country, and operated under the Sonatrach-Cepsa collaboration, was the first oilfield put into production by Cepsa in Algeria in 1996. It produces an average of 11,000 barrels a day.
Meanwhile, Cepsa continues to work alongside Sonatrach, Anadarko, Maersk, Pertamina, Talisman, and ENI in the Ourhoud oilfield, also located in the Berkine basin. Together with Sonatrach, Cepsa also operates other oilfields including BMS (Bir el Msana) and Rhourde er Rouni II.
Cepsa has worked in Algeria for the last 30 years and is a leading operator in the exploration and production industry there. Beside its oil production facilities, Cepsa’s activities in the country also cover natural gas through its Timimoun field, currently under development, in the Berkine basin. In addition, the Company has a 42% stake in the sub-sea gas pipeline Medgaz linking Algeria and Europe through Spain.
Madrid, November 23, 2016
Cepsa – Communication.