Algeria has officially announced its large-scale energy plans: by 2030, the country intends to raise its annual natural gas production to 200 billion cubic meters (bcm). This represents nearly a 50% increase from the current level of approximately 137 bcm. The objective serves two key goals — strengthening export capacity and meeting the growing domestic demand. Significant investments are planned for geological exploration and infrastructure modernization to support this strategy.
Strategic Expansion of the Hassi R’Mel Field
At the center of this strategy lies Hassi R’Mel, Africa’s largest gas field, operated by Sonatrach — the National Company for Exploration, Production, Transport, Refining and Marketing of Hydrocarbons. Today, Hassi R’Mel accounts for 26% of Algeria’s daily gas output. As part of the expansion, Sonatrach plans to commission three new compressor stations by 2027, which will enable an additional 121 bcm of natural gas to be produced.
The project is also expected to deliver 7 million tons of condensate and 3 million tons of liquefied petroleum gas (LPG), which are of strategic importance for both domestic consumption and external markets.
Sonatrach’s total investment plan for the period 2024–2028 is estimated at $50 billion, of which $36 billion will be allocated directly to gas exploration and production — the key areas necessary to achieve the country’s strategic goals. Increased production capacity is further supported by the discovery of eight new promising fields in 2023, expanding Algeria’s energy potential.
Development of Regional Infrastructure
Algeria aims to strengthen its position on the global energy stage through the Trans-Saharan Gas Pipeline, which will connect Nigeria and Europe through Algerian territory. This project will give Algeria direct access to the European market, which has become increasingly sensitive to energy security over recent years. The pipeline will be a crucial component in achieving Algeria’s target of exporting nearly 100 bcm of gas annually, consolidating its status as one of the world’s leading suppliers.
The economic significance of the project is substantial: it will secure stable export revenues and reinforce trade links between Africa and Europe. This initiative reflects the country’s long-term strategy to maximize the value of its natural resources and leverage its strategic geographic position. In this context, Algeria is showing increasing interest in international partnerships and regional energy integration.
RABC Information Service
