Statoil and Shell have teamed up to develop an onshore basin in Algeria.
The pair were awarded the Timissit Permit Licence for the Illizi-Ghadames Basin, which covers 2730sq km. Statoil will retain operatorship with a 30% stake in the licence and Shell will hold 19% equity. Sonatrach owns the remaining 51%.
“Statoil is entering this shale play to test the prospectivity and commerciality through a step-wise approach. The first exploration phase is expected to last up to 2017 and include the drilling of two wells and seismic acquisition,” said Nick Maden, senior vice president for Statoil’s exploration activities in the Western Hemisphere.
The acreage adds to Statoil’s existing stake in Algeria. Earlier this month the firm announced it was resuming operations at the In Amenas gas plant after a brutal terrorist attack left 40 people dead.
After an internal review, Statoil beefed up security operations and agreed more stringent defence measures with Algerian authorities.
