Algerian state oil giant Sonatrach this week renewed its gas-supply contract with Italy’s Edison. But, as with Algeria’s other 2019 gas sales ‘renewals’, volumes are reduced: in Edison’s case halved to 1bcm/y from 2bcm/y in the current 10-year deal which expires at end-2019.
European gas markets are well supplied and with a slew of US LNG export projects lining up to take FID are set to stay that way. Meanwhile, Algeria’s gas exports are falling amid stagnant output and surging domestic demand (MEES, 23 August). (CONTINUED - 331 WORDS)