Sonatrach, Algeria's state-owned oil production company, has reported making three new discoveries in the south of the country.

In a statement released by the firm, it has been confirmed that the three new finds were made at the Tinerkouk West-1, Tinzaouatine-1 and Reg Mouaded-1 wells, all located within the Sahara Desert.

The finds come on the back of several months of prospecting works carried out by Sonatrach alongside foreign operators StatoilHydro and BP and the consortium BG Group-Guld Keystone, with initial estimates putting potential production rates at between 3.8 and 9.2 cubic metres of oil per hour.

The news brings the number of significant hydrocarbon discoveries made in Algeria this year to nine, with Sonatrach having made three on its own and six in association with partners.

At present, the North African country produces around 1.4 million barrels of oil a day, in addition to 62 billion cubic metres of gas, the majority of which is exported to Europe.

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