In Algeria, as part of efforts to boost output, Sonatrach has granted a $100 million contract to five foreign firms for the supply of oil and gas drilling tubes.

The companies include German-based CCC Machinery, Dutch-based Van Leeuwen, France’s Vallourec Tubes, Kurvers Piping also in France and China’s High Sealed & Coupled.

Algeria’s economy has been affected by the 70% drop in the global oil prices since mid-2014.The country currently campaigning for additional foreign investment in order to boost oil and gas production so as to sustain exports and meet rising local demand.

Sonatrach has also made a new oil discovery with PTTEP and China's CNOOC after the successful drilling in the Hassi Bir Rekaiz area in the country.

Sonatrach owns a 51% interest in the project, with two other companies, each holding 24.5% interest.

According to Reuters, Sonatrach is planning to develop areas close to current fields and increasing production at its mature fields. It also plans to invest $3.2 billion for the duration of four years to boost pipeline capacity as natural gas production increases from new and current fields.

Anita Fatunji