Pertamina Signs Sonatrach Oil and Gas Block Management Cooperation in Algeria

INDUSTRY.co.id - Jakarta - PT Pertamina (Persero) signed a Memorandum of Understanding (MoU) on Sonatrach's oil and gas (oil) block management in Algeria.

Based on the written statement to the media in Jakarta on Saturday (23/12/2017), the signing marked the improvement of good relations and strengthening cooperation between oil and gas companies conducted by Pertamina President Director Elia Massa Manik and CEO Sonatrach Abdelmoumen Ould Kaddour in Algiers, Algeria.

This amendment revised the previous MoU signed in September 2016. Through this new agreement, Sonatrach opens opportunities for Pertamina to explore new oil and gas potential in Algeria.

These potentials include the development of existing assets and the development of new assets with potential production of up to 20,000-30,000 barrels per day, with a total reserve of more than 100 MMBO.

After the MoU is signed, Pertamina and Sonatrach will finalize the agreement and settlement commercial terms to subsequently submit Plan of Development to the oil and gas authority in Algeria.

President Director of Pertamina Elia Massa Manik, said that this MoU opens opportunities for both companies to explore new business. Both upstream and downstream, including working on the potential of LNG and LPG.

"This MoU is a testament to the trust of our partners, in which Pertamina is considered to be seriously working on the overseas field, in particular the 3 fields in Algeria.This effort also shows Pertamina's seriousness in expanding upstream business operations overseas to increase national oil and gas reserves and production," explained Mass.

The same thing conveyed Sonatrach CEO, Abdelmoumen Ould Kaddour, want to continue to work with Pertamina to strengthen the good relationship that has existed so far.

According to him Pertamina is a qualified company and comes from a country similar to Algeria.

Currently, Pertamina has three fields in Algeria, where in the field Pertamina through its subsidiary PIEP (Pertamina International EP) becomes operator with the right to manage 65% in MLN Field. Pertamina also has management rights in the EMK field of 16.9% and in the OHD field of 3.73%.