Algeria is looking to cast itself as a critical supplier of natural gas for European countries seeking to lessen their dependence on Russia as it welcomed envoys from energy rich nations to a key summit.

Algiers Province

Algeria is currently hosting a significant summit, welcoming diplomats from countries with abundant energy resources. The country is aiming to position itself as an essential provider of natural gas to European nations. This initiative comes at a time when these countries are actively seeking alternatives to reduce their reliance on Russian energy supplies.



Algeria is in the spotlight as leaders convene for summit

Africa's largest gas producer plans to invest an additional $14 billion to increase output. Algeria became the world's first exporter of liquefied natural gas, or LNG, when it sent a shipment to the UK in 1964. And in the last few years, it's remained a critical gas supplier to Europe. Now it's hosting countries which hold 70% of the world's known gas reserves. Delegates from the 19-member bloc, Gas Exporting Countries Forum, or GECF, are gathered in Algiers. Member states produce nearly half of the world's natural gas output. Natural gas is expected to play a key role in achieving a smooth and fair energy transition in the long term. Investing in natural gas resources requires high capital intensity, so it was necessary to conduct a continuous and serious dialogue to build a common, forward-looking vision, ensuring energy security for better and fair pricing for all. It is worth mentioning that technology will be crucial for the future of natural gas. By 2050, the world is likely to get warmer by 1.5 degrees, even if global emissions move to a very low carbon footprint. But the fossil fuel production that countries have planned is 120% higher than what's acceptable for staying within 1.5 degrees of warming. Many see natural gas as a transition fuel to move away from coal and oil-based power generation. The war in Ukraine and disruptions in the Red Sea have benefited Algeria. To meet growing demand, it uses two major pipelines to export gas. The MetGas pipeline pumps to Spain, while the GALSI takes gas to Italy. Work on a third pipeline to Nigeria is underway, but challenges remain. The outlook of Algeria by 2028 is to increase the national production of natural gas by 10 billion cubic meters of natural gas. I think that the big challenge for GECF members at the moment is the rising production of the United States. We have some troubles in the Red Sea, we have troubles in Russia in that war, so we have some repercussions on the global natural gas market. And I believe GECF members have to discuss about the geopolitical issues. The oil cartel OPEC can control production and prices, but gas producers have long to medium-term contracts. And the demand for gas is unlike oil and coal, which is outpacing its supply. So that means countries like Algeria will continue to pump out more profits by producing more natural gas. Osama Bin Javid, Al Jazeera, Algiers.

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