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Omc 2013 205

The document discusses exploration activity in Algeria's mining domain. It notes that current exploration covers less than 45% of exploration blocks and drilling/seismic activity is low. Sonatrach has increased efforts in remote and under-explored areas, leading to some interesting discoveries. Both Sonatrach and partnerships need to intensify efforts to fully appraise Algeria's hydrocarbon resources, both conventional and unconventional. While laws have aimed to enhance partnerships, the financial crisis limited companies' exploration investments. Improving the legal framework could encourage more investment in the crucial strategic exploration activity.

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44 views1 page

Omc 2013 205

The document discusses exploration activity in Algeria's mining domain. It notes that current exploration covers less than 45% of exploration blocks and drilling/seismic activity is low. Sonatrach has increased efforts in remote and under-explored areas, leading to some interesting discoveries. Both Sonatrach and partnerships need to intensify efforts to fully appraise Algeria's hydrocarbon resources, both conventional and unconventional. While laws have aimed to enhance partnerships, the financial crisis limited companies' exploration investments. Improving the legal framework could encourage more investment in the crucial strategic exploration activity.

Uploaded by

periskarasma
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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HOW TO BOOST EXPLORATION ACTIVITY OF FRONTIER AREA,

ALGERIAN MINING DOMAIN

D. BEKKOUCHE, Sonatrach, A. BENOUMECHIARA, Alnaft Agency

This paper was presented at the 11th Offshore Mediterranean Conference and Exhibition in Ravenna, Italy, March 20-22, 2013.
It was selected for presentation by OMC 2013 Programme Committee following review of information contained in the abstract
submitted by the author(s). The Paper as presented at OMC 2013 has not been reviewed by the Programme Committee.

ABSTRACT

Algerian mining domain is very vast and under explored, the current research activity covers
less than 45% of the exploration blocks and the drilling and seismic density is very scarce.

Sonatrach has increased the efforts in research works in taking interest in remote zones
“border regions”, deep geological targets and horizons under reservoirs in production in
mature basins. Such works have led to interesting discoveries in the Ordovician Hamra
Quartzite around Hassi Messaoud field, Haoud Berkaoui field, Illizi basin, and in the Upper
Silurian in Berkine basin. Interesting discoveries were also obtained from remote area in the
north of Algeria (Cheliff and the Constantine south-eastern basins) and in the Bechar region.

The intensification of Sonatrach efforts alone and in partnership must be combined and
encouraged to identify and evaluate the entire national mining domain and to appraise all the
country’s hydrocarbons resources both conventional and the unconventional ones.

The national mining domain has been managed and operated since the nationalisations
(1971) until the promulgation of the Law 86-14, by Sonatrach on behalf of the state. The Law
86-14 opened the mining sector to international companies through associations with
Sonatrach in the form of Production Sharing Agreements, Risk Service Contracts or Joint
Ventures.

In 2005, the new hydrocarbons law was enacted. This new hydrocarbons law aims mainly to
separate the roles between the state, as the owner, regulator and people’s interest protector
and Sonatrach as the economic and commercial state owned company. The new regulatory
framework, with the promulgation of Law 05-07 and the creation of two agencies
hydrocarbons regulatory authority and Alnaft, was supposed to enhance partnership, did not
provide however the expected results especially to speed up the research works for zones
under explored or not explored. It should be noted that the international situation
characterised by the financial crisis limited the investments of foreign companies in the
exploration projects.

The amelioration of the existing legal framework is one of the key to encourage companies to
invest more in the exploration activity which is crucial and strategic for the country.
Increasing efforts should be made by both the authorities to improve the regulatory
framework and Sonatrach and the international companies in developing strategic
partnership that will be profitable to all the players.

The full paper was not available at the time of CD editing

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