Algeria Country Analysis Brief - May 2013
Algeria is the largest natural gas producer and second largest oil producer, after Nigeria, in Africa. In recent years, crude oil production has been stagnant, while natural gas production has gradually declined, because new production and infrastructure projects have repeatedly been delayed. The recent militant attack on the In Amenas gas facility prompted security concerns about operating in Algeria’s remote areas, particularly in the south. Any major disruption to Algeria’s hydrocarbon production would not only be detrimental to the local economy but, depending on the scale of lost production, could affect world oil prices. Also, since Algeria is the fourth largest natural gas supplier to Europe, unplanned cuts to natural gas output could affect some European countries.
For more information on Algeria’s energy sector, visit http://www.eia.gov/countries/cab.cfm?fips=AG.
Posted: May 21, 2013