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Algeria

Sonatrach Begins New Drilling Phase at Niger’s Kafra Project

Algeria's state-owned energy company, Sonatrach, has commenced a new phase of drilling at the Kafra project in eastern Niger. Operations began on August 13, 2026, marking a significant step in the project, which is estimated to hold approximately 260 million barrels of oil. The ceremony was presided over by Algerian Prime Minister Sifi Ghrieb and his Nigerien counterpart, Ali Mahaman Lamine Zeine, underscoring the importance of this bilateral energy cooperation.

The Kafra project, where Sonatrach obtained a prospecting permit in 2005 and later signed a production-sharing agreement renewed in 2022, represents a crucial development for Niger. It aligns with Niger's objectives to expand its oil industry, attract investment, and increase revenues from its hydrocarbon resources. The new drilling phase, led by Sonatrach subsidiary ENAFOR at the Kafra Sud-Est 1 well, aims to translate geological potential into commercial production, further supporting Niger's efforts to enhance the economic value of its hydrocarbons.

For Algeria, the Kafra project provides an additional avenue for expanding its energy partnership with Niger, reinforcing its position in the wider Sahel region. This deepened cooperation also aligns with a broader strategic dimension that includes the proposed Trans-Saharan Gas Pipeline, a 4,100-kilometer project designed to transport Nigerian gas through Niger and Algeria to European markets. The resumption of these operations follows an earlier period of cautious relations between Algeria and AES member states, including Niger, signalling renewed engagement and partnership.

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