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ENI and Sonatrach to accelerate the development of gas fields in Algeria

Eni is the main international energy company operating in Algeria, where it has been present since 1981

ENI and Sonatrach  to accelerate the development of gas fields in Algeria

Rome, May 26 - Neftegaz.RU. Sonatrach´s CEO Toufik Hakkar and Eni CEO Claudio Descalzi signed today a MoU in Italy, aimed at accelerating the development of gas fields in Algeria and decarbonisation via green hydrogen.

Algeria is Italy’s 2nd-biggest gas supplier.
Today’s MoU represents a further step in strengthening energy cooperation between Italy and Algeria and is in line with Eni's strategy of diversifying energy sources with a focus on decarbonisation.

It will allow Sonatrach and Eni to evaluate the gas potential and opportunities for accelerated development at specific fields already discovered by Sonatrach in Algeria.

The gas production volumes expected from the areas covered by the agreement is equal to approximately 3 billion m3 per year and will contribute to increasing the export capacity of Algeria to Italy through the Transmed pipeline.

Algeria recently agreed to provide Italy with an additional 9 bcm per year of gas via the link.

The Memorandum also covers the technical and economic evaluation for a green hydrogen pilot project in Bir Rebaa North (BRN) in the Algerian desert, with the goal of supporting the decarbonisation of the BRN gas plant operated by JV Sonatrach-Eni GSE.

Last year Italy received around 21 billion m3 of gas from Algeria, compared to around 29 billion from Russia, which currently supplies nearly 40 % of Italy’s needs.

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