Algeria says it is ready to respond to requests from European Union countries, in particular, to supply gas to Germany, which is seeking to dispense with the supply of Russian gas. Algiers, while setting its conditions in Berlin, insisted on warning the Spanish authorities.
Russia is stepping up its threats against the European countries it intends to deprive of gas in retaliation for their support for Ukraine. The European Union has understood and is trying to free itself from this strong dependence on Moscow. If Germany has already undertaken to turn more to coal to meet its energy needs, it would not refuse a supply of gas from Algeria. Especially since this North African country has no problem with it. Quite the contrary.
The European Union is all the more interested in Algerian gas as this African country is already linked to Europe via Spain and Italy. Two gas pipelines go in fact to the Iberian kingdom, one of which passes through Morocco and which is closed in 2021, while another gas pipeline leaves Algeria to Italy, which has invested heavily in this country through the company ENI. Moreover, last April, Italy signed a contract with Algeria increasing gas deliveries by 40%.
“If Germany wants to buy gas from us, then…”
Germany wants to join the circle of European countries that benefit from Algerian gas. Questioned by the newspaper Der Spiegel, the Algerian Minister of Energy, Mohamed Arkab, reassured that Algeria has the means to deliver more gas to Europe, given that 50% of its potential is not exploited. “We say: if Germany wants to buy gas from us, then open new fields with us. Like the Italians with the ENI group”, replied this member of the government.
Mohamed Arkab adds: “We have an ambitious program of 39 billion dollars to increase production in the oil and gas sector by 2026. The public energy company Sonatrach will raise the majority, and we are looking for partners for the rest. We hope that the Europeans will not change course and leave us alone with the investments”. The minister also deplored that “for a long time, Europe defended the protection of the environment and made no distinction between oil and gas. As a result, no investment has been made.
Increase in gas prices under discussion with Spain
Referring to the specific case of Spain, Mohamed Arkab indicates that his country extended the contracts with Madrid “and there was no problem. Algeria respects and will always respect its treaty obligations. We have always been a reliable supplier for Europe”. The Algerian official, however, clarified that “the world price of gas follows the price of oil, and when the price of oil increases as it is currently, gas prices do the same. It is therefore obvious that an increase is being discussed” with Spain.
