0. Sonatrach The Algerian Oil & Gas Company
NOT AN OFFICIAL UNCTAD RECORD
DCG SPE
Sonatrach The Algerian Oil & Gas Company
may 2005

1. Outline
Some figures about Algeria
The role of the Hydrocarbon Industry
Company‘s Profile
Some figures in the year 2004
Primary, Marketed Production & Investment evolution over the medium term
New gas grid from Algeria to Europe
Recent developments

2. Algeria
Second African country in size, with an area of 2.4 Million Sq.Km.
Strategic geographic location, at the crossroads of African, Arabic, and Mediterranean worlds
30 Million inhabitants, mostly young and educated

3. The Weight of the Hydrocarbon Industry in the Algerian Economy
The Hydrocarbon Industry plays an important role in the Algerian Economy
The hydrocarbon industry accounts for around 36% of GDP
Proceeds from hydrocarbon exports cover 98 % of hard currency resources of the country
More than half (70%)of the state budget is funded by oil and gas tax revenues
employees work for the oil and gas industry

4. Sonatrach : The Algerian National Oil and Gas Company
Sonatrach was created in december 1963
( Piw ranking 2004 : 12th)
The mission of Sonatrach is three fold:
to meet Algeria’s present and future hydrocarbon
needs
to maximize the long-term value of Algeria’s
hydrocarbon resources
to contribute to the national development, mainly
by providing the required hard currencies

5. Algeria’s Hydrocarbons Production : 1958-2009
Projected
Gas & Oil
Developments
Sonatrach & Partners
Mainly Gas Developments
Sonatrach
The oil production decrease was mainly due to the external shocks of the 70's & the mid 80's
Birth of
Sonatrach

6. The Algerian Gas Industry (Current and New Projects)
LNG plants
Skikda
GL4Z
GL1K
GL1Z
GL2Z
Liquefaction Plants
Capacity
(Bcm/year)
1.5
8.0
10.5
Start up
1964
1981
GL1Z/GL2Z
1990
1978,1981
Arzew
GL1K
New LNG Plant
Algiers
1972
GG1
GL4Z
1964
GZ0
GK1
GEM
GZ1
1983
GPDF
GZ2
1996
GZ3
2003
Hassi Rmel
Gassi Touil
1961
1976
Quartz. (RN+GT) 13 Bcm
Tankers
Capacity
(LNG m3)
Lalla Nsoumer
Berge Arzew
Mustapha Ben Boulaid
Larbi Ben M'hidi
Bachir Chihani
Didouche Mourad
Abane Ramdane
Hassi R'mel
40 850
GR1
2007
GR3
1988
Rhourde Nouss
Hamra
1988
GR2
1995
Ohanet
5 Bcm
2000
In Salah 9 Bcm
2004
TFT
Alrar
1999
2003
1965
Tinhert 3 Bcm
2007
In Aménas 6 Bcm
Lahnet 7 Bcm
2005
2007
Total

7. Some figures about Sonatrach (2004)
Production
222 Mtoe including:
Oil & Condensate: 76 Mtoe
Natural Gas : Gm3
Transportation
km of operational pipelines (30 pipelines).
Liquefaction of NG : 41 Mm3
LPG Separation* : MT
Refining : MT
Marketing :
159 Mtoe including:
Exports : Mtoe
Domestic : 26 Mtoe
* : Including LPG from liquefaction plants.

8. Total Hydrocarbon production, 1999-2009
AAGR*= 3.0%
106 TOE
(*): Average Annual Growth Ratio.
Source: Sonatrach

9. Exports, 1999-2009 Volumes Values 106 TOE 109 US$ 735 106 TOE
93 19 $/bbl
Values
109 US$

10. Domestic Consumption, 1999-2009
TOE
Volumes
106 TOE
514 GDA
Values
109 DA

11. Total Investments,
Projection over the medium term =24,5 G $US
G $US
6,5
6,3
5,1
4,4
3,9
3,6
3,7
3,4
2,6
2,4
2,3

12. Total Investments – Achievements 2002 - 2004
Unit:106 US$

13. Total Investments over the medium term ( 24.5 109 US$)
Unit:109 US$
5.1
6.3
6.5
4.4
2.3

14. The main new projects over the medium term
Unité de traitement de brut Hassi Messaoud Sud
Installations Revamping of Hassi Messaoud
Rhourde-Nouss (CTH & R.chouff) Development project
Ohanet Electrification / Electric Station Extension of Alrar
Ligne 220 kv Rhourd Nouss-In Aménas
GPL unit of Hassi Messaoud
Compression unit of Hassi Messaoud
Gassi Touil field Development project
Tinhert field Development project
Sud Est Illizi field Development project

15. The main new projects over the medium term
Condonsat Pipeline NK1 Haoud el Hamra-Skikda
Gas Pipeline 1st phase Rhourde Nouss-Hassi R’mel
Gas Pipeline (Medgaz/GZ) Hassi R’mel – BeniSaf
New train LNG of Skikda
Topping condensat of Skikda
New train LNG of Gassi Touil project
Unité d ’extraction d’hélium à Arzew
Train de séparation de GPL à Arzew

16. Development of New Routes
MEDGAZ
Submarine Line Algeria-Italy
Spain
ITALIE
Arzew
Liquefaction
Plant 4-5 MT/y
LNG TANKERS
TMPC
Hassi R’Mel
Sonatrach will develop in partnership new direct routes to secure access to European markets at competitive costs.

17. New Gasline Algeria-Spain "MEDGAS"
Almeria
Beni Saf
Hassi R’mel
PIPE PARAMETERS
Flow rate : 8 Billions Cm3/y
Hassi R’mel to Beni Saf (onshore pipeline/Algeria):
Diameter : 48’’
Length : 547km
From Beni Saf to Alméria (offshore pipeline) :
Diameter : 24’’
Wall thickness : 31.8mm
Length :200km
Watert depth : 2200 meters
Inlet pressure : 190 bars
Comments
The feasibility study is achieved and showed
the obvious profitability of the project.
Currently, the realization company was set up early in 2003.
The constructing works will start at the end of
2003 or early in 2004.

18. New Gasline Algeria-Italy "GALSI"
PIPE PARAMETERS
CNDG
C.d.Pescaia
Olbia
El Kala
Flow rate : 7,6 Billions Cm3/y
Hassi R’mel to El Kala (onshore pipeline/Algeria):
Diameter : 42’’
Length : 640km
ElKala to Cagliari (offshore pipeline) :
Diameter : 24’’
Length : 310km
Watert depth : 2150 meters
Cagliari to Olbia (Sardaigna) :
Diameter : 42’’
Length : 300km
Olbia to C.d.Pescaia (Offshore pipeline) :
Diameter : 22’’
Length : 220km
Watert depth : 900 meters
Comments
The feasibility study is in progress with different operators: Sonatrach, Enel Power, Wintershall, Edison Gas & EOS Energia

19. Sonatrach’s International Focus
Développement champ de Camisea Pérou : Amont & pipeline
Espagne :
Unité de
Regazéification
& Co-gen.
Projets Amont E&P
Irak
Yemen
Lybie
Mali
Soudan
Afrique du Sud
Royaume Uni & Hollande: Trading de brut, GPL & GNL
Nigéria : Etude du
Projet de gazoduc
Nigal
Abuja-Beni Saf
USA :
Portefeuille d’actions
- 5% in Anadarko
- 2% in Duke Energy
- Petrochem. Tarragona
- Gestion du pricing des options Sahara Blend Sonacep (SH/Cepsa)