Algeria Sees Oil and Gas Output By Foreign Partners Dipping
By Salah Slimani
Algeria expects a slight decline in oil and natural gas produced by foreign firms in the north African nation as a result of an output decline in some fields, the chief executive officer of state-run Sonatrach said.
Abdelhamid Zerguine also said the economic crisis in Europe is prompting the company’s clients to seek discounts “because they can’t sell the gas and generate their profit margin,” according to the state-run APS news agency. He said the company was not under pressure to revise the price of gas delivered under long-term contracts.
Sonatrach expects to produce 200 million tons of oil equivalent this year, compared with 206 million toe in 2011, Zerguine said.
The El Merk oil field will be commissioned in the coming months, he said. The project is jointly operated by Sonatrach and its partners, Anadarko Petroleum Corp., Eni SpA, Talisman Energy Inc. and ConocoPhhillips, and is expected to have an output capacity of 100,000 barrels a day.
By posting your comment, you agree to abide by our Posting rules