ALGIERS (Reuters) - Algeria’s state-owned Sonatrach held meetings with Exxon Mobil (NYSE:XOM) last week to discuss possible partnerships, a Sonatrach statement said on Monday, a week after it said it had talked with Chevron Corp. (NYSE:CVX)
Sonatrach gave no further details of the September 25 and 26 meetings but the energy producer has said it wants to boost output to increase revenues after a decline in prices hit its budget.
Some 95% of Algeria's foreign revenue comes from oil and gas sales. Since energy prices dropped in 2014, its foreign exchange reserves have fallen to $72.6 billion from $178 billion.
The talks with foreign oil majors come at a sensitive time for Algeria after mass protests in February unseated veteran president Abdleaziz Bouteflika, creating a constitutional limbo that the army hopes to resolve with an election in December.
Algeria, a member of the Organization of the Petroleum Exporting Countries and a major gas supplier to Europe, has struggled to lift production to meet rising domestic demand, while foreign investors have often baulked at contract terms.
Sonatrach has a deal with Britain's BP (L:BP) and Norway’s Equinor (OL:EQNR) to develop Algeria's shale gas reserves, but industry sources said in March that talks with Exxon on developing a gas field had stalled.
Algeria is expected to amend its energy law to encourage foreign investors but without ending a rule that maintains majority local ownership.
