Sonatrach to Invest $15.8 bn in 2012, Ready to Take Over Djezzy

The CEO of Hydrocarbon state owned group Sonatrach, Abdelhamid Zerguine, said Tuesday the group intends investing 15.8 billion US Dollars in 2012, and also interested in taking over stake in Djezzy mobile phone unit.

Sonatrach CEO told a press conference in Algiers that the hydrocarbons group intends investing 15.8 billion US Dollars, compared to 12 billion USD in 2011, saying such investments are devoted to reinforce the group’s  capacities in terms of hydrocarbons output and transport.
Mr Zerguini said that in 2011, Sonatrach produced 206 to a million tons of oil equivalent, of which 148 million were produced by Sonatrach alone.
The group exports increased by 26 percent in 2011 to hit 72 billion US Dollars in 2011, compared to 57 billion US Dollars in 2011, the official added, saying 3.697 billion DZ Dinars ($ 36 million) were paid to the public treasury in the form of hydrocarbon taxes.
Meanwhile, Mr Zerguini has not excluded the possibility to see Sonatrach acquiring shares in the mobile phone Orascom Telecom Algeria (OTA).
Responding to a question on whether Sonatrach has been chosen to take over shares in OTA, the CEO said that public authorities have not informed Sonatrach about such participation, adding that “in case the preservation of the national interest required that Sonatrach becomes a shareholder in OTA, then we would do it.”
In January 2011, Minister of Finance, Karim Djoudi, said it is likely to associate a state run company in the taking over of Djezzy, a unit in Orascom Telecom Holding, which has been sold in 2011 by the Russian giant Vimpelcom.
Mr Djoudi further added that this company should manage the capital of the Algerian party, without however explaining whether it is to run the whole mobile phone unit.
Ministry of Finance, on behalf of Algeria government, is holding talks with Russian group Vimpelcom to reach an agreement on the price that should paid by the North African nation to take over the majority 51 percent stake in Djezzy unit.