Africa
01:39, 18-May-2019
Algeria, Italy sign deal to extend gas supply for 10 years
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Algeria's oil giant Sonatrach and Italy's Eni on Thursday signed two agreements on the purchase and transport of natural gas for 10 years to come, the Algeria Press Service (APS) reported.
The agreements were signed by Sonatrach's President Rachid Hashichi and Eni's Managing Director Claudio Discale at the headquarters of Sonatrach in Algiers, according to a statement by the Algerian company.
The first agreement concerns the renewal of the contract for the purchase of Algerian natural gas, while the second involves the transfer of natural gas through the Trans-Mediterranean pipeline, a network of pipelines between Algeria and Italy via Tunisia.
Sonatrach and Eni have reached an agreement to renew the 1977 contract for the purchase and sale of natural gas every 10 years.
The agreement allows Sonatrach to strengthen its standing in the Italian market as one of the most important suppliers of natural gas.
Italy is considered one of the main destinations for Algerian natural gas.