Algeria’s oil and gas company Sonatrach signed a memorandum of understanding on Feb. 26 with Norway’s Statoil (NYSE: STO) and Britain’s BP Plc (NYSE: BP) to strengthen cooperation particularly in upstream oil exploration, a joint statement said.
The companies gave no further details.
It is the latest sign of Sonatrach seeking to deepen ties with oil majors since Abdelmoumen Ould Kaddour took over CEO 10 months ago. He has resolved several disputes with foreign firms including Italy’s Eni (NYSE: E), France’s Total (NYSE: TOT) and Italy’s Saipem.
The move aims to boost Sonatrach’s attractiveness to secure investment and technology to raise stagnant output in both oil and gas, which make up 97% of state income.
BP and Statoil are already present in Algeria, working with Sonatrach at the Tiguentourine gas plant in the region of In Amenas.
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