ExxonMobil and SONATRACH Join Forces to Develop Algeria’s Oil and Gas Assets

On May 23, 2024, SONATRACH and the U.S.-based company ExxonMobil finalized a Memorandum of Understanding at SONATRACH's General Management headquarters. Present at the signing were Mr. Rachid HACHICHI, President and CEO of SONATRACH, and Mr. John ARDILL, Vice President of Exploration & New Opportunities at ExxonMobil.

This agreement will enable the collaborators to explore potential opportunities for developing hydrocarbon resources in the Ahnet basin and the Gourara basin, prioritizing operational excellence, technological innovation, environmental stewardship, and adherence to best sustainability practices.

During the signing of this memorandum of understanding, the Chairman and CEO of SONATRACH expressed satisfaction, stating, "We are pleased with this advancement in collaboration with ExxonMobil, a trailblazer in the energy industry. This agreement marks the beginning of new opportunities for the growth of Algeria's mining sector and underscores the shared commitment of both companies to responsibly and sustainably harness our nation's natural resources."

"This agreement marks a significant initial stride towards establishing a partnership aimed at enhancing the development potential of Algeria's resources," stated Mr. John ARDILL, Vice President of Exploration & New Opportunities at ExxonMobil. "Algeria's extensive experience in hydrocarbon development, coupled with ExxonMobil's advanced capabilities and demonstrated expertise, position us for success."

ExxonMobil's three primary businesses supply products essential for modern life, encompassing energy, chemicals, lubricants, and low-emission technologies. ExxonMobil holds a leading position in the industry with its extensive resource portfolio, making it one of the world's largest integrated companies in fuels, lubricants, and chemicals. The company has refined its operational model and global structure to maximize the advantages of its increasingly integrated operations and renowned global brands. Over its 140-year history, ExxonMobil has transformed from a regional kerosene marketer in the U.S. to one of the world's largest publicly traded petroleum and petrochemical corporations. Operating across most nations worldwide, ExxonMobil is recognized through well-established brand names like Exxon, Esso, and Mobil. Their products drive modern transportation, power urban centers, facilitate industrial lubrication, and serve as the foundational materials for countless consumer goods.

Sonatrach, Algeria's national state-owned oil company, was established in 1963 and has since grown to become the largest company in Africa, boasting 154 subsidiaries. It is often recognized as the premier African oil "major." By 2021, Sonatrach had risen to become the seventh largest gas company globally. In its pursuit of resource development, Sonatrach focuses on refining and petrochemical investments as outlined in its investment program, with the goal of playing a significant role in Algeria's industrialization. Sonatrach's new strategy aims to position itself as a global benchmark among national oil companies and aspire to rank among the top five national oil companies worldwide.