Zenith Energy has signed a conditional sale and purchase agreement (SPA) with Tunisian oil and gas company, CNPC, for the working interest in the Sidi El Kilani concession.

Tunisia and Algeria are in the process of negotiating a decade long contract for the future supply of gas between the two countries.

The Canadian oil and gas company Zenith signed an agreement on 2nd March to acquire a working interest (WI) in an onshore oil production unit in Tunisia.

Tunisia’s natural gas production dropped by 15% by the end of 2019 reaching 37,800 barrels per day (bbl\d).

Tunisia’s Nawara natural gas field started production on February 5.

Local production covers only 48% of Tunisia's energy demand, which exacerbated the energy deficit over the last couple of years.

The Tunisian parliament has passed a bill regulating the transfer of Algerian natural gas to Italy through Tunisian lands, as well as a draft law regarding the agreement for the trans-Tunisian natural gas pipeline.

The deal extends Eni's management of the trans-Tunisian gas pipeline to transport Algerian natural gas to Italy through Tunisia for another 10 years.

After years of a decline in E&P activities, the Tunisian government granted 30 exploration licenses, alongside the development of 13 new wells.

Tunisia plans to double its natural gas production to reach 65,000 boe/d, up from the current production level of 35,000 boe/d.