Eni Renews License For Block 403 in algeria

Eni Renews License For Block 403 in Algeria

10-05-2007

Eni and Sonatrach have signed an agreement to renew the development and production license for the fields belonging to Block 403 (BRN, BRV and BRSW) located in Algeria, in the Bir Rebaa area, in the south-eastern part of the Saharan desert.

Production from the fields, which started in 1995 following the first agreement between Sonatrach and a foreign partner, averages approximately 23,000 boe/d (barrels of oil equivalent per day).

The renewal of this license enables Eni to confirm its reserves and production capacity in Algeria of up to approximately 90,000 boe/d.

This agreement is further confirmation of Eni’s close strategic partnership with Algeria’s Sonatrach. It also offers a new stimulus for further cooperation on projects which will be subject to specific agreements in line with the company’s strategy to increase hydrocarbon exploration and production in Algeria.

Eni began operating in Algeria in the 1950s along two main lines: the procurement of natural gas, with the construction of a gas pipeline across the Mediterranean (Transmed) and the acquisition of exploration and development permits for gas and oil fields.