With the outbreak of war in Ukraine, Algeria became a “major player” among the main energy exporters to Europe. It has overtaken Russia in gas exports amid expected record investments, according to Eurostat.
Recent data published by the European statistics agency, Eurostat, reported by Western media on December 18, 2024, reveal that Algeria overtook Russia last October in the field of energy exports to the Old Continent, becoming thus the main supplier of natural gas to the European Union.
According to Eurostat figures, Algeria’s share of European gas imports reached 21.6% in October. This success is attributed to the increase in its gas exports to the European Union, which increased from 1.1 billion euros in September to 1.3 billion euros in October 2024.
As for Russia, which topped the list of countries supplying gas to Europe, it now occupies second place with a market share of 21.2% in October, compared to 23.7% in September, according to the same report from the European Agency. This confirmed the drop in Russian gas exports by 6% to 1.3 billion euros and led to their fall to second place.
The United States comes in third place with exports worth 1.2 billion euros, followed by Norway with a value of 777.4 million euros and Azerbaijan (431.3 million euros). ‘euros).
In total, the European Union purchased gas worth 6.15 billion euros in October, recording an increase of 5% in October compared to September, according to the same report.
Algeria is connected to Europe via two gas pipelines, “Medgaz” to Spain and “Galci” to Italy. As for the GME gas pipeline, which connected Algeria to Spain via Morocco, it was closed in November 2021, following Algeria’s decision to break diplomatic relations with Rabat.
A recent report from the specialized platform “Energy” explains Algeria’s growing position on the global energy scene by “subjecting the Algerian energy sector to major changes” in recent years, emphasizing that the country “was able, after stages of recession and declining production, revitalize the sector through a combination of strategic policies, increased investment and new developments.”
According to the same report, “this transformation has not only improved domestic supply, but also strengthened its export capacities, particularly to Europe, the main destination for Algerian exports.”
The platform’s report adds that one of the main drivers of Algeria’s success in this area is the increase in its marketed gas production by around 25% over the last four years. Production having, according to it, reached 104.3 billion cubic meters in 2023, while it was around 85 billion cubic meters in 2020.
The report expects Algeria to benefit from record financial investments and long-term contracts to develop its resources, with growing interest from foreign investors in Algerian gas. In addition to Europe’s desire to move away from Russian supplies.
