Algeria Liquefied Natural Gas (Lng) Market
Liquefied natural gas (LNG) is a type of natural gas that has been cooled down to the liquid form in order to facilitate ease and safety of non-pressurized transport and storage. Besides, it constitutes nearly 1/600th the volume of natural gas in the gaseous form. In addition, LNG is colorless, odorless, non-corrosive, and non-toxic.
Natural gas is highly essential for Algeria's economy. In this regard, according to the 2019 report issued by the IMF, one-third of the country's revenue generation primarily relies upon the export of hydrocarbons from Algeria. In addition, owing to the increasing vulnerability as the dependency on hydro-carbons rises, policymakers have proposed a reduction in the domestic consumption of oil and gas by 3% until the year 2030.
In addition, Algeria has a highly volatile and developing economy. Characterized by high energy usage, the country's primary energy consumption is dominated by oil and natural gas, equating to over 98.60% in 2020. However, while petroleum showed depreciating consumption trends, natural gas and oil held the highest revenue share in terms of the overall primary energy consumption in Algeria. Hence, these factors are set to play a vital role in fueling the country's LNG market growth.
Some of the leading players operating in the country's market include Shell Ltd and Sonatrach.