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Tentative steps

Algeria’s state-owned oil company Sonatrach is about to become the first oil and gas company within Opec to roll out an independent risk management programme to cover its crude oil and gas sales. Stella Farrington reports

State-owned companies and government-controlled financial systems are not theeasiest breeding grounds in which to set up risk management systems. But theadverse market conditions of the 1990s prompted Algerian state-owned oil companySonatrach to explore the possibility of setting one up.

“By 1998 we committed to going ahead with a risk management programme, but ittook a long time to mature the

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