Algeria Holds Huge Shale Gas Reserves

Algeria is sitting on vast reserves of natural gas and is actively looking for partners to begin production by next year, the country’s oil minister.

Oil minister Youcef Yousfi said the country, which is already a major exporter natural gas, holds significant amounts of natural gas trapped in shale rock.

"We are interested in growing unconventional gas reserves. Based on estimates, the reserves might be as high as 1,000 trillion cubic feet.”

"The preliminary results of our evaluation of shale gas potential indicate that the potential is at least comparable to the major plays known in the United States," Yousfi said.

The first objective, explained Yousfi, is to detail the potential of shale and tight gas prospects.

Alegria's state-run producer Sonatrach has no experience of developing shale gas or exposure to technologies such as hydraulic fracturing and horizontal drilling required in the unconventional process.

“We need partners that have experience in shale gas and tight gas production,” said the Minister.

Algeria is the third-largest supplier of gas to Europe after Russia and Norway.