Algerian energy giant Sonatrach and its Italian partner Eni inked Tuesday three energy partnership agreements for the building of gas pipelines and the management of common projects.
The documents were signed by the CEO of Sonatrach, Abdelmoumen Ould Kaddour and his Italian counterpart Claudio Descalzi, on the sidelines of the 11th Scientific and Technical Conference (JST 11) being held in the province of Oran, 400 km west of Algiers.
The first agreement is about the construction of a gas pipeline linking two production units in the Algerian Sahara.
This project will be launched this year and will enter into service within two years, as it will allow to carry over 7 million standard cubic meters of gas every day.
The second document is an agreement in the domain of synergy as it paves the way for negotiations to combine the skills of the two companies in a bid to reduce maintenance costs by 50 million U.S. dollars annually.
The third document is due to boost research and development, particularly in the field of renewable energies.
These agreements confirm that Sonatrach is committed to settle its litigation issues with its foreign partners.
Such disputes emerged from the implementation as by 2006 of the tax on windfall profits, widely disputed by foreign oil companies operating in Algeria.
Editor:Amber
