Summary
Algeria is building two new pipelines to Europe under the Mediterranean Sea, therefore, new natural gas supplies are required.
Analysis
Currently Algeria has an estimated natural gas export capacity of 64.5 bcm/y (2,278 Bcf/y), which includes two major natural gas export pipelines and several LNG liquefaction plants. Algeria’s gas export strategy involves increasing its gas export capacity to around 95 bcm/y (3,355 Bcf/y) by 2012. However, achieving this objective will require the implementation of a numerous upstream, LNG liquefaction and gas pipeline transport projects.
The main ones being the following:
· The Gassi Touil integrated gas project.
· Continued exploitation of the In Salah fields by the BP, Statoil, Sonatrach group,
· Development of the In Amenas fields by the BP, Statoil, Sonatrach group,
· Development of gas fields fields in Ahnet by the Petronas, Gaz de France, Sonatrach group,
· Construction of a 4-million ton/year LNG liquefaction plant at Arzew,
· Construction of a new liquefaction plant at Skikda (replace the three trains that were destroyed),
· Expansion of the existing gas export pipelines to Italy (Enrico Mattei Pipeline),
· Expansion of the existing gas export pipelines to Spain (Pedro Duran Farell Pipeline),
· Construction of a second gas export pipeline to Spain (MEDGAZ pipeline project by 2010,
· Construction of a second gas export pipeline to Italy, known as GALSI by 2012.
That total natural gas export capacity in 2010 is expected to reach 79 bcm/y (2,790 Bcf/y) with 52 bcm (1,836 Bcf/y) via gas export pipelines and 27 bcm/y (953 Bcf/y) in the form of LNG.
This author consults with leading institutions through GLG
Analyses are solely the work of the authors and have not been edited or endorsed by GLG.
