Air Algerie is to take over the ownership of local operator Tassili Airlines, following a divestment decision by Algerian state-owned energy firm Sonatrach.
Sonatrach states that a framework transfer agreement for Tassili was signed on 19 June.
It adds that the deal is a “pivotal step” in the transformation of Tassili, which will be integrated with the national air transport system.
This will enable it to support the development of domestic transport and strengthen air connectivity between Algeria’s various regions.
Sonatrach says the agreement will ensure an “orderly transfer” of ownership while “maintaining business continuity”.
Tassili Airlines, which was established in early 1998, had been primarily focused on energy sector shuttle and charter work on behalf of Sonotrach.
But the carrier has expanded its destination network for passenger transport. Tassili operates types including Boeing 737s and De Havilland Dash 8 turboprops.
Among the aircraft used by flag-carrier Air Algerie are widebody Airbus A330s, Boeing 737s and regional ATRs.