Algiers – May 5, 2025
Abraj Energy Services, Oman's leading oil and gas services provider marked a significant presence during the historic state visit of His Majesty Sultan Haitham bin Tarik to the People's Democratic Republic of Algeria. The visit witnessed the strengthening of bilateral economic ties and the opening of new horizons for strategic partnership and investment between the Sultanate of Oman and Algeria.
Under the gracious patronage of His Majesty Sultan Haitham bin Tarik and His Excellency President Abdelmadjid Tebboune of Algeria, a Term Sheet agreement was signed between Abraj Energy Services and SONATRACH to establish a joint venture specializing in drilling and well services as well as integrated project management.
The signing ceremony took place at the Presidential Palace in Algiers and was attended by Eng. Saif bin Said Al Hamhami, CEO of Abraj Energy Services, and Mr. Rachid HACHICHI, Chairman and CEO of SONATRACH. The agreement is the result of extensive efforts that followed the signing of an MoU between the two parties in April 2024 and months of collaboration between their joint working teams.
The signed key terms agreement aims to lay the legal, technical, and commercial foundations for assessing the feasibility of launching a joint venture company focused on delivering drilling and well services, along with integrated project management. The initial focus will be on the Algerian market, with plans to expand regionally and internationally in the future.
This strategic initiative is expected to establish a joint energy entity that strengthens bilateral cooperation in the energy services sector. It also supports knowledge transfer and operational expertise sharing, aligning with the growing demand for integrated and sustainable energy solutions.
The announcement follows an exceptional year for Abraj Energy Services in 2024. The company recorded revenues exceeding OMR 152.6 million, an EBITDA margin of 32%, and completed three consecutive years with zero Lost Time Incidents (LTI). It also spent over OMR 193 million locally and supported over 150 small and medium enterprises (SMEs), solidifying its position as a leading regional energy services provider.