In 2024, the sector liquefied natural gas (LNG) Algeria is going through a difficult period, marked by a significant decrease in its exports. According to a recently published report by an energy research unit based in WashingtonLNG exports fell by 13.6%, representing a drop of 1.83 million tonnes compared to the previous year. This trend raises questions about the issues and challenges facing Algeriaeven as the country seeks to maintain its place among the world’s major gas producers.
Algerian LNG exports recorded a total of 11.62 million tonnes in 2024, against 13.45 million tonnes in 2023. This decline puts an end to a period where Algeria occupied first place among African LNG exporters, maintaining its leadership on the world market. From now on, it is overtaken by the Nigeriawhich recorded exports of 14.63 million tonnes, thus confirming its leading position in Africa.
This decline in Algerian exports not only has a direct economic impact, but also a strategic one, because it modifies the dynamics of the global energy market and places Algeria in a more vulnerable position vis-à-vis competitors. At the same time, overall exports of natural gas and LNG fell to 48.7 billion cubic metersa figure which represents the lowest level observed since 2020.
Several elements explain this decrease in exports. First, structural reasons such as planned maintenance of gas infrastructure, notably the station d’Arzewplayed a major role. These technical shutdowns reduced LNG production and export capacity. Then, another decisive factor was the drop in European demand, the main consumer of Algerian gas, although l’Europe remains the leading market for the country’s gas exports.
The accelerated energy transition in Europe, as well as the diversification of its gas supply sources, have changed the situation. The European Unionwhich turned massively to Algeria for its gas needs, gradually reduced its dependence on traditional producing countries. The use of alternatives such as American and Qatari LNG has also helped reduce Algerian gas imports.
Despite this downward trend, Europe remains the main importer of Algerian LNG. In 2024, the Türkiye and France alone represented 63% of the country’s total exports. Turkey imported 4.05 million tonnesmarking a slight decline compared to 2023. For its part, France saw its imports increase, reaching 3.26 million tonnesthus confirming its key role in Algerian gas consumption.
Furthermore, other European countries such as Spain and Italy experienced a decrease in their import volumes, amounting to 1.66 million tonnes and 1.39 million tonnes respectively in 2024. This development is partly explained by the intensification of the energy transition in Europe, which increasingly favors renewable energies and longer-term contracts with alternative suppliers.
This drop in LNG exports highlights Algeria’s fragility on the global natural gas market. If the country has been able to position itself as a key player in the sector, it must now face increased competition and internal pressures linked to its infrastructure and its capacity to adapt to market developments.
Algeria will therefore have to diversify its commercial partnerships and explore new export opportunities to compensate for the loss of market share, particularly in Europe. Africa, and particularly the Asian markets, could offer interesting prospects for the future of the sector. The development of new production capacities and infrastructure could also help the country restore sustainable growth in this strategic sector.
