Algerian energy company Sonatrach announced plans to carry out its first ever offshore drilling campaign by the end of next year.
Interim Chief Executive Officer Said Sahnoun announced the plans during the signing ceremony for contracts awarded during the latest licensing round.
State-owned Sonatrach "intends to drill its first offshore well by the end of 2015," he said Wednesday.
Exploration will take place off the coast of Algerian provinces Oran and Bajaia after the conclusion of a seismic survey campaign to get a better understanding of the reserve potential.
Initial survey data show a probability for reserves in waters more than 1 mile deep.
Algeria has the tenth-largest natural gas deposits in the world and is the third-largest gas supplier to Europe. With Europe looking to diversify an energy sector dependent on Russia, the companies said any shale from Algeria could be an important part of energy security ambitions.
Most of the reserve interest in Algeria has been onshore.
Terrorists sympathetic with al-Qaida stormed the country's In Amenas natural gas facility in January 2013, leaving 38 civilians and 29 militants dead. Statoil and its joint venture partners resumed ordinary operations at the plant after implementing new security measures at the facility earlier this year.
