Exxon, Chevron near deal to develop Algeria gas reserves - Bloomberg

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Algeria is close to finalizing a deal with Exxon Mobil (NYSE:XOM [https://seekingalpha.com/symbol/XOM]) and Chevron (NYSE:CVX [https://seekingalpha.com/symbol/CVX]) to tap its vast natural gas reserves [https://www.bloomberg.com/news/articles/2025-08-15/algeria-nears-deals-with-exxon-and-chevron-in-shale-gas-push], including shale, for the first time, the chairman of the country's energy regulator told Bloomberg in an interview Friday.

"The technical aspects have more or less been agreed upon, but the commercial alignment is still under negotiation and will soon be finalized," Samir Bekhti said, adding that attracting the two energy giants "sends a strong signal."

Algeria, where hydrocarbons already account for more than 75% of total exports, has existing gas infrastructure and a location on Europe's doorstep that are major attractions for foreign energy companies, but it needs to overcome cost concerns from drilling deep in the southern desert while offering the prospect of strong returns, with Bekhti saying "we need to master the economic aspects of unconventional energy."

Algeria has the world's third-largest recoverable shale resources, behind China and Argentina, and ahead of the U.S., according to the U.S. Energy Information Administration.

"We want to unlock this potential and start working with those who have experience, regardless of whether they are Chinese, American, or European," Bekhti said.

Algeria’s state-run energy company Sonatrach signed preliminary agreements with Exxon (NYSE:XOM [https://seekingalpha.com/symbol/XOM]) and Chevron (NYSE:CVX [https://seekingalpha.com/symbol/CVX]) last year to develop hydrocarbon resources in the Ahnet basin, the site of its first trial shale well in 2014, and the Berkine basin in the east.

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