ECONOMY
Wed 15 Mar 2023 9:36 pm - Jerusalem Time
Draghi in Algeria to increase gas supplies to Italy
Algeria - (AFP) - Italian Prime Minister Mario Draghi chaired Monday in Algiers with President Abdelmadjid Tebboune, who was received by the fourth Algerian-Italian summit, which constituted an opportunity to sign several agreements, especially to increase Algerian gas supplies to Rome.
The summit, which was attended by six Italian ministers and the Italian prime minister, aims to "confirm the distinguished partnership in the energy sector" between the two countries, according to Draghi's office.
Tebboune and Draghi signed a number of agreements on issues of the judiciary, small enterprises, startups, and cooperation in the fields of industry, energy, and sustainable development.
Algeria, which enjoys special relations with Italy , has become its "main supplier of gas in recent months," after Russia overtook it for a long time, as 45% of Italian gas imports were from Russia, according to what Draghi confirmed in an interview with the media, along with Tebboune.
Several countries have looked to Algeria to reduce their dependence on Russia since the beginning of its invasion of Ukraine in late February.
For his part, Tebboune announced the signing "tomorrow (Tuesday) of an important agreement between (the American) Occidental (the American) and (the Italian group) Eni and (the French) Total, which will enable the supply of large (additional) quantities of gas to Italy."
And the Algerian News Agency announced on Friday that Algeria will deliver about 4 billion additional cubic meters of Algerian gas to Italy, starting this week.
Since the beginning of the year, Algeria has sent Italy 13.9 billion cubic meters of gas, 113% more than the expected quantities. It expects to supply it with an additional six billion cubic meters by the end of the year, according to APS.
Eni, present in Algeria since 1981, runs with the giant Algerian company "Sonatrach" the "Transmed" pipeline that connects Algeria with Italy, via Tunisia. It has an annual capacity of 32 billion cubic meters of natural gas. "Algeria exports 22 billion cubic meters through the Transmed pipeline," expert Abdelmadjid Attar, former Algerian Minister of the Environment, told AFP in April, leaving the possibility of exporting an additional 10 billion cubic meters.
Draghi had announced, during his last visit to Algeria in April, an agreement to increase gas shipments that Algeria exports, but he did not give any figures at the time.
And the “Eni” group had indicated in April that this agreement would use “the transportation capabilities of the (Transmed) pipeline to secure greater flexibility in energy supplies and the gradual supply of increasing volumes of gas from 2022, (in order to reach) 9 billion.” (additional) cubic meters of gas annually in 2023-2024.
The gas contract between the two countries was renewed in May 2019 for eight years until 2027, in addition to an additional two optional years.
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Draghi in Algeria to increase gas supplies to Italy