Algerian national oil and gas company Sonatrach has fund a large oil field in the Ouargla wilaya, about 110 km away from Hassi Messaoudi, Algeria's largest oil field. The discovery is one of the largest discoveries for Sonatrach over the last 20 years. It could hold nearly 1,300 mbl. Sonatrach plans to use hydraulic acculturation (fracking) for this field, which will result in a 10% cost surplus but will enable to recover 50% of the reserves (instead of 10-15% with conventional techniques).
Sonatrach has also started production at El Merk in the Berkine basin (in partnership with Anadarko). The field should produce 146,000 bbl/d and is estimated to hold 1,200 mbl of oil reserves, of which nearly 40% are recoverable. This project would give an additional crude oil production capacity of 100,000 bbl/d. Sonatrach plans to invest the bulk of its US$100bn investment programme to intensify exploration.