Sonatrach Makes Discovery Near Gassi Touil

Sonatrach has made significant discoveries near the huge gas export project Gassi Touil.

"This discovery is very important," Djilali Takherist, manager of Sonatrach's exploration division, told state radio. He said it would help OPEC member Algeria reach its goals of significantly boosting oil and gas exports in coming years.

The discovery comes shortly after Algeria, the world's second largest liquefied natural gas (LNG) exporter, delayed the award of its Gassi Touil contract to allow potential investors more time to study the huge gas export project.

"It's not far from the zone of that project and it shows that there is a potential upside there (Gassi Touil) to explore...It puts at ease the project," Takherist said.

Sonatrach will now carry out more in-depth studies at the two wells, which state radio said were one of the most important discoveries made.