Algeria’s Energy Minister Mohamed Arkab on Sunday confirmed the country’s proven oil reserves are currently 1.34 million tonnes, or 10 billion barrels, reported Reuters.
In an interview with state radio, Arkab said that Algeria, one of the major gas suppliers to Europe, had an estimated 2.36 billion cubic metres of proven natural gas reserves. The country’s oil and gas output and exports have been falling in recent years due to growing domestic consumption and a lack of foreign investment.
To get everything back on track, the government approved an energy law late last year that offers attractive contract terms including tax incentives to foreign investors. This year, State energy firm Sonatrach has signed a number of Memorandums of Understanding (MOU) with oil majors including Exxon Mobil Corp.
“The aim of this partnership with major companies is to preserve our share of external markets and increase our production capacity,” Arkab said.
In related news, the Algeria government on Sunday scrapped customs duties and value added tax (VAT) on imports of pharmaceutical products and medical equipment amid growing number of coronavirus infection cases in the country.
Algeria has been importing most of its medical equipment and products from China since the outbreak of the virus, and the government has said it would spend $100 million on purchases of those products. Around 3,382 confirmed coronavirus cases have been reported in the country, with 425 deaths and 1,508 recoveries.
On Saturday, the Algerian authorities decided to allow some businesses to reopen, a day after shortening curfew for several provinces including the capital Algiers.
According to the prime minister’s office, the decision to reopen businesses is aimed at reducing the economic and social impact of the pandemic as restrictions linked to the novel coronavirus have significantly hit the economy which is under financial pressure due to a sharp fall in global oil prices.
