Algeria: raising gas production is a solution to face oil prices fall

Sonatrach’s CEO Abdelmoumene Keddour Tuesday said raising gas production capacities is the most appropriate solution for Algeria in view to oil price in the international market.

Ould Keddour said there is a need for focusing on raising gas production capacities as Algeria has an important reserve and considerable exporting capacities through two pipelines in the east and the west.

He added that the Algeria 2016 agreement does not allow to intervene in the increase of gas production capacity.

“The most efficient solution is to raise gas production capacity in MEDGAZ plant in Beni Saf in Ain Timouchent by 2 billion cubic meters per year,” he said.

“This strategy is adopted by Sonatrach in a number of other fields such as Hassi Messaoud. Its additional production capacity is estimated at 10 million cubic meters per day,” he added.

Sonatrach’s CEO also said there is a plan to develop petrochemical industries as they are “more than essential to valorize gas production on which the State relies.”