Algeria has entered into a significant two-year agreement with US energy giant Chevron to explore potential offshore oil resources in the Mediterranean. Announced on Wednesday by the Ministry of Energy, the collaboration represents a pivotal step in the country’s efforts to expand its hydrocarbon sector and attract international investment.
The agreement, signed between Algeria’s national hydrocarbon agency, Alnaft, and Chevron North Africa, focuses on conducting an in-depth study to evaluate offshore oil reserves. According to the ministry, the findings could open doors to large-scale exploration and development projects aimed at boosting Algeria’s energy production.
Mourad Beldjehem, president of Alnaft, emphasized that the partnership is part of a broader strategy to bring in high-quality investments and enhance technical expertise in offshore oil exploration. He noted that the initiative is aligned with Algeria’s vision to modernize its energy sector and capitalize on untapped resources.
Algeria has been working to explore its offshore oil potential for several years. In 2018, the state energy company Sonatrach partnered with France’s Total and Italy’s ENI to assess offshore reserves. While those agreements laid a foundation, the Chevron partnership signifies renewed momentum in developing the nation’s maritime energy resources.
As Africa’s largest country, Algeria relies on hydrocarbons for more than 90% of its foreign currency earnings. This collaboration with Chevron is expected to strengthen its position in the global energy market, unlocking new opportunities for growth and diversification.
With its extensive Mediterranean coastline still largely unexplored, Algeria stands poised to harness Chevron’s expertise and advance its offshore exploration ambitions, further solidifying its role as a key player in the international energy sector.