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As Europe looks for alternative sources of natural gas to replace its current dependence on Russia, Italy may be best placed to gain additional export volumes from Algeria thanks largely to Eni’s historic commitment to the country. The depth of this relationship is again being  demonstrated as chief executive Claudio Descalzi shepherds through the deal to take over BP’s stakes in the strategically important In Amenas and In Salah gas projects. Lacking a similar depth of commitment, the UK-based major is pulling back perhaps a a consequence of the of the 2013 Jihadist attack on the Tiguentourine complex at In Amenas.  Read  African Energy analysis of Algiers’ response to Europe’s energy crisis.

Italian major Eni and state company Sonatrach has announced a “significant” oil and associated gas discovery in the Zemlet El Arbi concession in the Berkine North Basin. The discovery is estimated to contain 140m bbls of oil in place.

Oil output in Algeria remains below the amount allowed under the Opec+ arrangement – something which is also the case for several other big African producers, as shown by the cartel’s Monthly Oil Market Report for March. According to their official filings, almost all African producers are producing below their agreed quota.

Among Russia’s portfolio of interests in Africa – which include a large military sales business and nuclear development ambitions – state-owned entities such as Gazprom, Gazpromneft and Rosneft have built up hydrocarbons industry interests in markets around the continent, from Algeria in the north to Nigeria, and Angola and Mozambique south of the Sahara.  African Energy examines Russia's investments in Africa's upstream sector and its possible strategic objectives.

European leaders are confronting the urgent need to diversify energy supplies away from Russia, while also somehow keeping to their commitments to achieve net zero carbon emissions by 2050, that they made – indeed pioneered – at the COP26 climate conference in Glasgow, just four months ago.  African Energy examines the options and projects under discussion including gas and electricity imports and hydrogen prospects.

Algerian state giant Sonatrach and Gazprom EP International have finally announced plans for a new gas development at El Assel in the Berkine Basin.

Eni has given a major fillip to the Algerian upstream industry by signing a production-sharing contract (PSC) to develop the estimated $1.4bn Southern Berkine Project (SBP) on a fast-track basis.

The recently-established Société Algérienne des Energies Renouvelables (Algerian Renewable Energy Company, or Shaems) – a joint venture of state giants Sonatrach and Sonelgaz – has issued a much-anticipated 1GW tender for international and local investors to supply solar power.

There are signs of progress in Algeria’s efforts to develop renewable energy (RE) and reduce its hydrocarbons dependency, with Italian firms playing a prominent role in recent developments. Among them, Italian energy major Eni has made an important new commitment

Italian major Eni on 27 November announced a €385m ($436m) deal to sell a 49.9% stake in its Trans-Tunisian Pipeline Company (TTPC) and Trans-Mediterranean Pipeline Company (TMPC) subsidiaries to Italian pipeline operator Snam. The two subsidiaries operate the gas pipelines that connect Algeria to Italy, passing through Tunisia.

Sonatrach president director-general was elected to head the Association Algérienne de l’Industrie du Gaz (AIG).

TotalEnergies’ country director Samir Oumer has announced that the new polypropylene unit at the French giant’s petrochemical complex in the Arzew industrial zone will enter production in 2025.

In a widely expected development, given their plunging bilateral relations, Algeria has withdrawn Sonatrach’s exports via the GME pipeline, which delivers natural gas to Morocco and Spain – posing a range of geopolitical and energy supply questions, write Dominic Dudley and Jon Marks.

Energy transition and renewable energies minister Benattou Ziane on 18 October launched a project to convert 150,000 vehicles to run on liquid petroleum gas (LPG), as part of a national energy efficiency programme.

In yet another change in the Algerian state industry, Mourad Menaour has been promoted to become interim president director-general (PDG) of Sonatrach’s wholly-owned petroleum products distribution subsidiary Naftal.