China’s Sinopec International Energy has secured a production-sharing contract (PSC) for the Hassi Berkane North license in Algeria, committing an $850 million investment into exploration and development.
The PSC agreement, finalized nearly a year after Sinopec and state-owned Sonatrach signed a memorandum of understanding in March 2024, marks a significant milestone in the region’s energy sector.
Both companies have agreed to conduct exploration and appraisal drilling within the license, located 80 kilometers from the massive Hassi Messaoud field.
Sinopec has maintained a presence in Algeria since 2002 and currently operates the Zarzaitine field.
The official signing ceremony was attended by Sonatrach’s CEO Rachid Hachichi, Algeria’s Minister of Energy Mohamed Arkab, and Sinopec board member Niu Shuanwen.
