1 2
1.1 List of Tables 8
1.2 List of Figures 10
2 Algeria Energy Sector 11
2.1 Algeria Energy Sector, Market Overview 11
2.2 Algeria Energy Sector, Natural Gas 12
2.2.1 Algeria Natural Gas, Overview 12
2.2.2 Algeria Natural Gas, Supply and Demand Balance 12
2.2.3 Algeria Natural Gas, Regulatory Structure 18
2.2.4 Algeria Natural Gas, Infrastructure 18
3 Algeria Fiscal Regime 20
3.1 Algeria Petroleum Fiscal Environment 20
3.1.1 Governing Law 20
3.1.2 Licensing Authority 20
3.1.3 State Participation 20
3.2 License Terms 21
3.2.1 Exploration License (EL) Duration 21
3.2.2 Relinquishment during Exploration 21
3.2.3 Exploration obligation 21
3.2.4 Production Rights, Area & Duration 21
3.3 Key Fiscal Terms- Zone A 21
3.3.1 Royalty 21
3.3.2 Petroleum Resource Rentals 22
3.3.3 Taxation 22
3.3.4 Deductions and Depreciation 23
3.4 Key Fiscal Terms- Zone B 23
3.4.1 Royalty 23
3.4.2 Petroleum Resource Rentals 23
3.4.3 Taxation 24
3.5 Key Fiscal Terms- Zone C 24
3.5.1 Royalty 24
3.5.2 Petroleum Resource Rentals 25
3.5.3 Taxation 25
3.5.4 Deductions and Depreciation 26
3.6 Key Fiscal Terms- Zone D 26
3.6.1 Royalty 26
3.6.2 Petroleum Resource Rentals 26
3.6.3 Taxation 27
3.6.4 Deductions and Depreciation 27
3.7 Economic Modeling Methodology- Zone A 28
3.8 Economic Modeling Methodology- Zone B 30
3.9 Economic Modeling Methodology- Zone C 32
3.10 Economic Modeling Methodology- Zone D 34
3.11 Sample Economics- Zone A 36
3.12 Sample Economics- Zone B 37
3.13 Sample Economics- Zone C 38
3.14 Sample Economics- Zone D 39
3.15 Sample Asset Valuation- Zone A 40
3.16 Sample Asset Valuation- Zone B 41
3.17 Sample Asset Valuation- Zone C 42
3.18 Sample Asset Valuation- Zone D 43
4 Algeria Gas Upstream Investment Environment Benchmarking 44
4.1 Introduction 44
4.2 The Overall Ranking 44
4.3 Upstream Fiscal Attractiveness 44
4.3.1 Maximum Government Take Index 45
4.3.2 Maximum State Participation 46
4.3.3 Maximum Domestic Market Obligation 46
4.4 Gas Sector Performance 46
4.4.1 Exploration Activity 48
4.4.2 Gas Production 49
4.4.3 Gas Reserves 49
4.4.4 Gas Consumption 49
4.5 Economic Performance 50
4.5.1 GDP Growth Index 51
4.5.2 FDI Confidence Index 51
4.5.3 Balance of Trade Index 52
4.6 Socio-Political Performance 52
4.6.1 Democracy Index 53
4.6.2 Governance Index 53
5 Algeria Exploration and Production Sector 54
5.1 Algeria Exploration and Production Sector, Country Snapshot 54
5.1.1 Algeria Exploration and Production Sector, Key Data 54
5.1.2 Algeria Exploration and Production Sector, Natural Gas Assets Map 54
5.2 Algeria Exploration and Production Sector, Marketed Natural Gas Production 55
5.2.1 Algeria Exploration and Production Sector, Marketed Natural Gas-Historical Production 55
5.2.2 Algeria Exploration and Production Sector, Marketed Natural Gas-Historical Production by Type 56
5.2.3 Algeria Exploration and Production Sector, Marketed Natural Gas Production by Assets 57
5.2.4 Algeria Exploration and Production Sector, Marketed Equity Weighted Natural Gas Production by Company 57
5.2.5 Algeria Exploration and Production Sector, Market Share based on Marketed Equity Weighted Natural Gas Production 58
5.3 Algeria Exploration and Production Sector, Marketed Natural Gas Forecasts 59
5.3.1 Algeria Exploration and Production Sector, Marketed Natural Gas Forecasted Production 59
5.4 Algeria Exploration And Production Sector, Natural Gas Asset Details 60
5.4.1 Algeria Exploration And Production Sector, Active Natural Gas Asset Details 60
5.4.2 Algeria Exploration and Production Sector, Planned Natural Gas Asset Details 60
5.5 Algeria Exploration And Production Sector, Major Gas Discoveries, 2004-2009 61
5.5.1 Algeria Exploration And Production Sector, Number of Gas Discoveries, 2004- 2009 61
5.5.2 Algeria Exploration And Production Sector, Gas Discovery Details, 2004-2009 62
5.6 Algeria Exploration And Production Sector, Recent Discoveries 63
5.6.1 Apr 19, 2010: Sonatrach Announces Two More Hydrocarbon Discoveries In Berkine Basin, Algeria 63
5.6.2 Apr 11, 2010: Sonatrach Announces Two Oil Discoveries At Akamil-2 And Ain Antar Is 2 Wells In Illizi Basin 64
5.6.3 Feb 28, 2010: Sonatrach Discovers Gas At El Kheit Tessekha Extension-1 Well In Berkine Basin, Algeria 64
5.7 Algeria Exploration And Production Sector, Drilling and Production Updates 64
5.7.1 Apr 20, 2010: BP To Maintain 9 Bcm Output At Salah Gas Field In Algeria 64
5.7.2 Mar 15, 2010: Gazprom Commences Drilling On Rhourde Sayah-2 Well At Berkine Basin In El Assel License, Algeria 65
5.7.3 Feb 02, 2010: Petroceltic Updates On INW-2 Well At Isarene Block, Algeria 65
5.7.4 Dec 07, 2009: Petroceltic Provides Algeria Drilling Update 66
6 Algeria Pipeline Sector 68
6.1 Algeria Pipeline Sector, Key Data 68
6.2 Algeria Pipeline Sector, An Overview 68
6.3 Algeria Pipeline Sector, Comparision of Key Natural Gas Pipeline Companies 68
6.4 Algeria Pipeline Sector, Natural Gas Pipelines 70
7 Algeria LNG Gas Sector 72
7.1 Algeria LNG Gas Sector, Liquefaction 72
7.1.1 Algeria LNG Gas Sector, Liquefaction, Total Liquefaction Capacity 72
7.1.2 Algeria LNG Gas Sector, Liquefaction Capacity- Wise (Million Tonnes) Market Share By Company 73
7.1.3 Algeria LNG Gas Sector, Asset- Wise Liquefaction Capacity 74
8 Profile of Sonatrach 75
8.1 Sonatrach, Key Information 75
8.2 Sonatrach, Company Overview 75
8.3 Sonatrach, Business Description 75
8.3.1 usiness Overview 75
8.3.2 Downstream 76
8.3.3 Marketing 76
8.3.4 Pipeline Transportation 77
8.3.5 Upstream 78
8.4 Sonatrach, Sonatrach, SWOT Analysis 79
8.4.1 Overview 79
8.4.2 Sonatrach Strengths 79
8.4.3 Sonatrach Weaknesses 80
8.4.4 Sonatrach Opportunities 80
8.4.5 Sonatrach Threats 81
9 Profile of Eni S.p.A. 83
9.1 Eni S.p.A., Key Information 83
9.2 Eni S.p.A., Company Overview 83
9.3 Eni S.p.A., Business Description 83
9.3.1 Business Overview 83
9.3.2 Engineering and Construction 84
9.3.3 Exploration & Production 85
9.3.4 Gas & Power 86
9.3.5 Others 88
9.3.6 Petrochemicals 88
9.3.7 Refining and Marketing 89
9.4 Eni S.p.A., SWOT Analysis 91
9.4.1 Overview 91
9.4.2 Eni S.p.A. Strengths 91
9.4.3 Eni S.p.A. Weaknesses 93
9.4.4 Eni S.p.A. Opportunities 93
9.4.5 Eni S.p.A. Threats 94
10 Profile of Anadarko Petroleum Corporation 96
10.1 Anadarko Petroleum Corporation, Key Information 96
10.2 Anadarko Petroleum Corporation, Company Overview 96
10.3 Anadarko Petroleum Corporation, Business Description 96
10.3.1 Business Overview 96
10.3.2 Marketing 97
10.3.3 Midstream 97
10.3.4 Oil and Gas Exploration and Production 98
10.4 Anadarko Petroleum Corporation, SWOT Analysis 99
10.4.1 Overview 99
10.4.2 Anadarko Petroleum Corporation Strengths 100
10.4.3 Anadarko Petroleum Corporation Weaknesses 101
10.4.4 Anadarko Petroleum Corporation Opportunities 102
10.4.5 Anadarko Petroleum Corporation Threats 103
11 Financial Deals Landscape 105
11.1 Detailed Deal Summary 105
11.1.1 Partnerships 105
11.1.2 Asset Transactions 109
12 Recent Developments 111
12.1 License Rounds 111
12.1.1 Sep 02, 2010: Algeria Launches New Oil And Gas Bidding Round For 10 Contract Areas 111
12.2 License Awards 112
12.2.1 Jan 18, 2010: Repsol Signs Exploitation Agreement For New Block In Algeria 112
12.3 Strategy and Business Expansion 112
12.3.1 Apr 06, 2010: Petroceltic Secures Two-Year Appraisal Extension For Four Isarene Discoveries 112
12.4 Other Significant Developments 112
12.4.1 Aug 26, 2010: Sonatrach's Medgaz Pipeline Becomes Operational 112
12.4.2 Aug 22, 2010: Algeria Invites India To Join $10 Billion Gas Pipeline Project 113
12.4.3 Jul 26, 2010: Petroceltic Signs Rig Contract For Four-Well Appraisal Program In Algeria 113
12.4.4 Apr 19, 2010: New US Gas Output Causing LNG Glut: Algeria 114
12.4.5 Apr 18, 2010: Arabs Plan $470 Billion Investment In Energy Projects 114
12.4.6 Apr 17, 2010: Algeria Intends To Increase Natural Gas Exports By Over 50% In Next Five Years 115
12.4.7 Mar 04, 2010: Petroceltic International Updates On Its Activities In Algeria, Tunisia And Italy 115
12.4.8 Mar 01, 2010: Algeria Places Third Trunk Of Trans-Mediterranean Gas Pipeline System Into Operation 117
12.4.9 Feb 15, 2010: Algeria, Poland Sign Energy Cooperation Agreement 118
12.5 New Contracts Announcements 118
12.5.1 Aug 10, 2010: Cape Wins EUR27 Million Contract From Snamprogetti Chiyoda For GL3-Z LNG Project In Arzew, Algeria 118
12.5.2 Jul 12, 2010: Alderley Wins Over GBP6 Million Worth Contract In Algeria 118
13 Appendix 120
13.1 Methodology 120
13.1.1 Coverage 120
13.1.2 Secondary Research 121
13.1.3 Primary Research 121
13.1.4 E&P Forecasts 121
13.1.5 Midstream Forecasts 123
13.1.6 Expert Panel Validation 123
13.2 Contact Us 123
13.3 About GlobalData 124
13.4 Disclaimer 124


1.1 List of Tables
Table 1: Algeria, Historic and Forecast Production and Consumption of Natural Gas, 1996-2020 13
Table 2: Algeria, Historic and Forecast Exports of Natural Gas, 1996-2020 15
Table 3: Algeria, Historic Reserves of Natural Gas, 1996-2009 17
Table 4: Algeria - Zone A, Crude Oil and Natural Gas, Minimum Royalty Rate, 2009 22
Table 5: Algeria - Zone A, Exploration Period Surface Tax, 2009 22
Table 6: Algeria - Zone A, Oil Revenue Tax (TRP) Calculation Rates, 2009 22
Table 7: Algeria - Zone B, Crude Oil and Natural Gas, Minimum Royalty Rate, 2009 23
Table 8: Algeria - Zone B, Exploration Period Surface Tax, 2009 24
Table 9: Algeria - Zone B, Oil Revenue Tax (TRP) Calculation Rates, 2009 24
Table 10: Algeria - Zone C, Crude Oil and Natural Gas, Minimum Royalty Rate, 2009 25
Table 11: Algeria - Zone C, Exploration Period Surface Tax, 2009 25
Table 12: Algeria - Zone C, Oil Revenue Tax (TRP) Calculation Rates, 2009 25
Table 13: Algeria - Zone D, Crude Oil and Natural Gas, Minimum Royalty Rate, 2009 26
Table 14: Algeria - Zone D, Exploration Period Surface Tax, 2009 27
Table 15: Algeria - Zone D, Oil Revenue Tax (TRP) Calculation Rates, 2009 27
Table 16: Algeria - Zone A, Base Asset Remaining NPV, Sensitivity to Discount Rates, Mid 2009 40
Table 17: Algeria - Zone B, Base Asset Remaining NPV, Sensitivity to Discount Rates, Mid 2009 41
Table 18: Algeria - Zone C, Base Asset Remaining NPV, Sensitivity to Discount Rates, Mid 2009 42
Table 19: Algeria - Zone D, Base Asset Remaining NPV, Sensitivity to Discount Rates, Mid 2009 43
Table 20: North Africa, Investment Benchmarking, Overall Country Rankings, July 2010 44
Table 21: North Africa, Investment Benchmarking, Upstream Fiscal Attractiveness, July 2010 45
Table 22: North Africa, Investment Benchmarking, Gas Sector Performance, July 2010 46
Table 23: North Africa, Investment Benchmarking, Economic Performance, July 2010 50
Table 24: North Africa, Country Standings, Economic Performance, July 2010 50
Table 25: North Africa, Investment Benchmarking, Socio-Political Performance, July 2010 52
Table 26: North Africa, Country Standings, Socio-Political Performance, July 2010 52
Table 27: Algeria, Natural Gas Key Statistics, 2009 54
Table 28: Algeria, Total Marketed Natural Gas Production (MMcf), 2002-2009 55
Table 29: Algeria, Marketed Natural Gas Production (MMcf) by Type, 2002- 2009 56
Table 30: Algeria, Natural Gas Production (MMcf) by Assets, 2002- 2009 57
Table 31: Algeria, Marketed Equity Weighted Natural Gas Production by Company (MMcf), 2002- 2009 57
Table 32: Algeria, Market Share (%) based on Marketed Equity Weighted Natural Gas Production, 2002-2009 58
Table 33: Algeria, Marketed Natural Gas Production (MMcf), Forecast by Assets, 2010- 2015 59
Table 34: Algeria, Active Gas Field Assets Details 60
Table 35: Algeria, Planned Gas Field Assets Details 60
Table 36: Algeria, Number of Gas Discoveries, 2004-2009 61
Table 37: Algeria, Gas Discovery Details, 2004-2009 (Part – 1) 62
Table 38: Algeria, Gas Discovery Details, 2004-2009 (Part – 2) 63
Table 39: Algeria, Pipeline Key Statistics, 2009 68
Table 40: Algeria, Natural Gas Pipeline Length by Company (Km), 2009 68
Table 41: Algeria, Natural Gas Pipelines, 2009 (Part – 1) 70
Table 42: Algeria, Natural Gas Pipelines, 2009 (Part - 2) 71
Table 43: Algeria, LNG Key Statistics, 2009 72
Table 44: Algeria, Total Liquefaction Capacity (Million Tonnes), 2000-2015 72
Table 45: Algeria, Liquefaction Capacity by Company (Million Tonnes), 2000-2015 73
Table 46: Algeria, Liquefaction Capacity (Million Tonnes), 2000-2015 74
Table 47: Sonatrach, Key Facts 75
Table 48: Sonatrach, SWOT Analysis 79
Table 49: Eni S.p.A., Key Facts 83
Table 50: Eni S.p.A., SWOT Analysis 91
Table 51: Anadarko Petroleum Corporation, Key Facts 96
Table 52: Anadarko Petroleum Corporation, SWOT Analysis 100
Table 53: Sonatrach To Form Joint Venture With Egyptian Natural Gas Holding And Egyptian General Petroleum 105
Table 54: Total, Sonatrach And Cepsa Enter Into Partnership 106
Table 55: IPIC Forms Joint Venture With Wintershall 107
Table 56: National Oil Sign Exploration And Production Sharing Agreement With Sonatrach, Oil India And Indian Oil 108
Table 57: Gulf Keystone Petroleum To Sell Its Interest In Hassi Ba Hamou Permit 109
Table 58: Liwa Energy Farms Into Shell's Exploration Acreage In Algeria 110


1.2 List of Figures
Figure 1: Algeria, Energy Sector Split By Fuel Type, 2009 11
Figure 2: Algeria, Natural Gas Production And Consumption (Billion Cubic Feet), 1996-2020 14
Figure 3: Algeria, Natural Gas Exports (Billion Cubic Feet), 1996-2020 16
Figure 4: Algeria, Natural Gas Reserves (Billion Cubic Feet), 1996-2009 18
Figure 5: Algeria - Zone A, Full Field Economics, Sample Cash Flows, 1969-2030 28
Figure 6: Algeria - Zone B, Full Field Economics, Sample Cash Flows,1969-2030 30
Figure 7: Algeria - Zone C, Full Field Economics, Sample Cash Flows, 1969-2030 32
Figure 8: Algeria - Zone D, Full Field Economics, Sample Cash Flows, 1969-2030 34
Figure 9: Algeria - Zone A, Full Field Economics, Government and Contractor Takes 36
Figure 10: Algeria - Zone A, Full Field Economics, Post Tax Cash Flow vs Gross Revenue 36
Figure 11: Algeria - Zone B, Full Field Economics, Government and Contractor Takes 37
Figure 12: Algeria - Zone B, Full Field Economics, Post Tax Cash Flow vs Gross Revenue 37
Figure 13: Algeria - Zone C, Full Field Economics, Government and Contractor Takes 38
Figure 14: Algeria - Zone C, Full Field Economics, Post Tax Cash Flow vs Gross Revenue 38
Figure 15: Algeria - Zone D, Full Field Economics, Government and Contractor Takes 39
Figure 16: Algeria - Zone D, Full Field Economics, Post Tax Cash Flow vs Gross Revenue 39
Figure 17: Algeria - Zone A, Full Field Economics, Project Post Tax Cash Flows At Various Discount Rates 40
Figure 18: Algeria - Zone B, Full Field Economics, Project Post Tax Cash Flows At Various Discount Rates 41
Figure 19: Algeria - Zone C, Full Field Economics, Project Post Tax Cash Flows At Various Discount Rates 42
Figure 20: Algeria - Zone D, Full Field Economics, Project Post Tax Cash Flows At Various Discount Rates 43
Figure 21: North Africa, Country Standings, Upstream Fiscal Attractiveness, July 2010 45
Figure 22: North Africa, Country Standings, Gas Sector Performance, by Reserves-Exploration & Production, July 2010 47
Figure 23: North Africa, Country Standings, Gas Sector Performance, by Production & Consumption, July 2010 48
Figure 24: North Africa, Country Standings, Exploration Blocks Awarded, July 2010 49
Figure 25: North Africa, Country Standings, Economic Performance, July 2010 51
Figure 26: North Africa, Country Standings, Socio-Political Performance, July 2010 53
Figure 27: Algeria, Natural Gas Assets Map, 2009 54
Figure 28: Algeria, Total Marketed Natural Gas Production (MMcf), 2002-2009 55
Figure 29: Algeria, Marketed Natural Gas Production (MMcf) by Type, 2002-2009 56
Figure 30: Algeria, Marketed Equity Weighted Natural Gas Production (MMcf) by Company, 2002-2009 58
Figure 31: Algeria, Market Share (%) based on Marketed Equity Weighted Natural Gas Production, 2002-2009 59
Figure 32: Algeria, Number of Gas Discoveries, 2004- 2009 61
Figure 33: Algeria, Natural Gas Pipeline Length by Company (Km), 2009 69
Figure 34: Algeria, Total Liquefaction Capacity (Million Tonnes), 2000-2015 73