StatoilHydro and Sonatrach are both NOCs (national oil companies) and were founded at about the same time. Each company produces about 3% of the world’s natural gas and are the second and third largest suppliers of gas to Europe, respectively.

StatoilHydro has joint ventures with Sonatrach and BP on the In Salah and In Amenas gas fields in the Sahara desert, which collectively produce one-fifth of Algeria’s total gas output.

At the In Salah field’s Krechba production facility, the joint venture also operates a CO2 capture and storage facility, based on technology similar to that used on StatoilHydro’s Sleipner field in the North Sea, that captures, re-injects and stores 1 to 1.2 million tonnes of CO2 per year.

Furthermore, we operate the Hassi Mouina gas prospect together, which is in the development assessment stage. Seven gas discoveries have been made so far in the vast Saharan licence area. StatoilHydro owns a 75% stake in Hassi Mouina and Sonatrach owns the rest.

StatoilHydro and Sonatrach are also partners on two ultra-deep water exploration licenses in Egyptian waters – and more international partnerships are under consideration.

Another facet of the relationship is our cooperation with the Algerian Institute of Petroleum, providing technical training to locals and sharing our successful safe behaviour programme with Sonatrach’s 120,000 employees.

“Sonatrach’s response has been very positive,” says Kåre Røsandhaug, StatoilHydro’s country manager in Algeria. “If and when production starts on Hassi Mouina, our goal is to have as few expats as possible.” he explains.

For now, expatriate personnel are essential. “Many of our expats are senior personnel with a high level of competence, and we need them to lead incoming junior personnel,” he says.