German oil and natural gas producer Wintershall Dea has increased its participating interest in the Reggane Nord project in Algeria, a move that will further strengthen its presence in the country.
The company acquired an additional 4.5% stake in the natural gas project from a former project partner Edison.
With the deal now complete, Wintershall Dea owns a 24% interest in the Groupement Reggane Nord, operator of the project.
The other partners are Sonatrach (40%) and Repsol (36%).
Reggane Nord, which commenced production in December 2017, has produced 13 billion cubic metres of gas to date.
Wintershall Dea Algeria senior vice president and managing director Thomas Ruttmann said: “Reggane Nord has been producing natural gas reliably and cost-efficiently since 2017. Wintershall Dea is not just an investor, our team is actively contributing experience and know-how and effectively contributes to the efficiency of the project – especially our drilling and reservoir expertise is in demand here.
“We are pleased to now increase our participating interest in the project and continue to actively advance Reggane Nord in the future.”
Wintershall Dea has been active in Algeria since 2002. The company is seeking to expand its business in the North African country.
In February last year, Wintershall Dea extended an existing memorandum of understanding (MoU) with Sonatrach to explore new business opportunities in Algeria in the natural gas, hydrogen, and carbon capture and storage (CCS) sectors.
Wintershall Dea chief operating officer and the responsible Board Member for Algeria Dawn Summers said: “We see great potential for the future of the Algerian energy sector; both for the expansion of natural gas production, and carbon management and hydrogen projects. Areas in which Wintershall Dea intends to become active in Algeria in the future.
“With the acquisition of further interest in Reggane Nord, we are now consolidating our presence in Algeria and setting the course for growth.”
Reggane Nord began production in December 2017. (Credit: Wintershall Dea AG)