President Abdelmadjid Tebboune has ratified a strategic memorandum of understanding between Algeria and Azerbaijan aimed at expanding bilateral cooperation across the hydrocarbons sector, including oil, gas, petrochemicals and emerging green-energy projects.

Axar.az reports that the agreement, signed on November 29, 2022, reflects both countries’ intention to deepen economic and industrial ties through a long-term partnership built on mutual interests and energy-sector coordination.

According to a presidential decree issued on May 12, 2026, the memorandum establishes a broad framework for cooperation covering regulatory and legal policies related to hydrocarbon activities, as well as upstream oil and gas exploration and production projects both onshore and offshore.

The accord also includes collaboration in petrochemicals, energy transport and distribution, and the commercialisation of petroleum products, including naphtha and liquefied natural gas (LNG).

Under the agreement, Azerbaijan’s state energy company SOCAR will supply long-term volumes of light Azerbaijani crude and other petroleum grades to Sonatrach Raffineria Italiana, reinforcing commercial energy exchanges between the two sides.

The partnership further extends to green-energy initiatives, particularly hydrogen development and transport infrastructure, alongside cooperation in research, sector governance, energy infrastructure and human-capital training.

The memorandum is valid for an initial five-year term and will be renewed automatically unless either party formally withdraws from the agreement.