Sonatrach and Sinopec sign major partnership agreement in Beijing
Algeria's national company Sonatrach and Chinese giant Sinopec signed a significant memorandum of understanding in Beijing on Friday. The agreement, signed by a high-level Algerian delegation led by Sonatrach's Chairman and CEO NourEddine Daoudi, aims to explore new investment opportunities and technology transfer across the entire hydrocarbon value chain and energy transition. This new agreement builds on a previous memorandum of understanding from 2024, which identified concrete mutual interests. While historical collaboration focused on conventional oil and gas exploration and production, this expanded framework will now include opportunities in conventional and unconventional hydrocarbons, with a focus on complex, high-technical reservoirs. Priority areas include high-value sectors such as petrochemicals and strategic helium recovery. Advanced petroleum engineering, renewable energies, and associated new technologies are also key components, alongside a focus on skills development and knowledge transfer for sector executives and technicians. This initiative highlights the growing strategic partnership between Algeria's energy sector and Chinese companies, with Sinopec being an active partner. In February 2025, a $850 million production sharing contract was signed for the Hassi Berkane Nord strategic perimeter, and technical agreements are underway to assess hydrocarbon potential in the Gourara and Berkine Est basins.
