New Minister of Energy Appointed in Algeria

Salah Khebri, an expert in the field of energy who has worked in the oil and gas sector for almost thirty years, and who holds the offices of both Head of the Algerian Petroleum Institute and Advisor of President and Chief Executive Officer of Sonatrach State Oil and Gas Corporation, has been appointed as Chief of the Power Energy Authority.

Youcef Yousfi, 74, a former Minister of Energy, is a veteran of Algerian politics. He was president of OPEC from 1998-1999 and appointed as Algeria’s Minister of Energy and Mining in 2010. By presidential decree, he was appointed advisor to the Head of the Republic on energy issues (ministerial rank).

According to APS, eight key ministers were replaced in the Algerian government in the Cabinet reshuffle conducted by Abdelaziz Bouteflika on May 14.

The changes in the Algerian Cabinet take place on the eve of the upcoming OPEC summit, where members of the oil cartel will plan their decision as to whether current high oil extraction volumes should be retained against the background of falling oil prices.

Algeria, the major oil and gas producer of Northern Africa, faces a drop in state revenue based mainly on its export energy supply. Over several years, the country’s authorities have tried to attract foreign investors to its energy sector to increase production of carbohydrates as the extraction rate has fallen since 2010. Earlier, the Ministry of Energy announced its intention to invest up to USD 70 billion in the development of shale deposits over 20 years.  

Algeria is the leading producer of natural gas and one of three leading producers of oil in Africa.

Algeria is ranked second in Africa after Nigeria (5.15 trillion m3) in volume of proven natural gas deposits (approx. 4.5 trillion m3). The main carbohydrate deposits are concentrated in the central and Eastern parts of the country.

Since 2009, Gazprom International (as an operator, 49%) in cooperation with Sonatrach (51%) has implemented the project at El Assel licensed section situated in the Berkine Basin 150 km to the Southeast of Hassi Messaoud, the country’s oil capital. In the course of the joint operations, three oil and gas deposits have been discovered.