Italy’s Eni signs MOU with Algeria’s SONATRACH to Develop Gas Fields & Pilot Green Hydrogen Production

  • The Chairman of SONATRACH, Toufik Hakkar, and Eni CEO, Claudio Descalzi, have signed a MOU aimed at accelerating the development of gas fields in Algeria and decarbonisation via green hydrogen.
  • The signing ceremony was witnessed by the President of the People’s Democratic Republic of Algeria Abdelmadjid Tebboune and the Italian Prime Minister Mario Draghi during a state visit to Rome last week. 

In more detail, the Memorandum of Understanding will allow SONATRACH and Eni to evaluate the gas potential and opportunities for accelerated development at specific fields already discovered by SONATRACH in Algeria. The gas production volumes expected from the areas covered by the agreement is equal to approximately 3 billion cubic meters per year and will contribute to increasing the export capacity of Algeria to Italy through the Transmed pipeline.

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The Memorandum also covers the technical and economic evaluation for a green hydrogen pilot project in Bir Rebaa North (BRN) in the Algerian desert, with the goal of supporting the decarbonisation of the BRN gas plant operated by JV SONATRACH-Eni GSE.

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Eni is the main international energy company operating in Algeria, where it has been present since 1981.

Author: Bryan Groenendaal

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