What To Expect

Sonatrach should be able to ramp-up its gas production around 2014/15 and be in a better position to guarantee long-term supply stability after that time. In the near-term, Sonatrach will likely continue to drive hard bargains on pricing, and will seek a downstream, marketer’s stake in LNG facilities worldwide. Furthermore, Sonatrach may have an eye on commercial opportunities in the US, selling directly to consumers at maximum profit. It has already established marketing companies in Europe and Britain for such purposes. As always, the Algerian natural resources mindset weighs in favor of a preference to leave the gas in the ground and wait to strike better bargains.