The Algerian state-run company Sonatrach intends to boost the gas production of the Hassi Messaoud field by 10 mcm/d (3.6 bcm/year) and will also increase the gas output of the neighbouring Rhourde El Baguel oil field by 6 mcm/d (2.2 bcm/year). Rhourde El Baguel is located 80 km from Hassi Messaoud and both are in the Ouargla province, 600 km south of Algiers. At Rhourde El Baguel, Sonatrach currently focus on oil production and flares 17 mcm/d of gas; the company will then market 6 mcm/d and re-inject the remaining 11 mcm/d to improve oil recovery.
The additional volumes will be exported in order to boost the country's energy earnings, which have fallen from US$60bn in 2014 down to US$27.5bn in 2016, due to the collapse of the oil prices. Algeria currently intends to increase its gas exports by 30 bcm/year by the beginning of 2018, from 54 bcm in 2016 (of which 39 bcm of gas exports by pipeline and 17 bcm of LNG exports).
Source: Sonatrach