Electron Native

Algeria’s natural gas pipeline exports to Europe are getting squeezed by cheaper Russian supplies and a global abundance of the liquefied form of the fuel. European clients of Sonatrach have “greatly reduced their demand” for conventional gas from Algeria. This resulted in a 25% drop in the level of sales expected this year, says Ahmed El-Hachemi Mazighi, who is the vice-president of marketing at the state-owned energy company. Gas Pipeline Source : Student Energy Algeria is the third-biggest gas supplier to Europe. Its lower pipeline exports are evidence of how new LNG supplies from the U.S. to Australia and Russia are overwhelming the market and driving prices lower. That’s reduced the competitiveness of the north African country’s pipeline gas contracts, which are mostly tied to oil prices, according to the energy consultant Wood Mackenzie To compensate, Sonatrach turned more of its gas into LNG. It’s selling those supplies on t...

The Italian energy group Eni is heaving a sigh of relief. According to Eni, the U.S. Justice Department has closed its investigations into alleged corruption by its subsidiary in Nigeria and Algeria. In a related development, Eni is currently on trial in Milan on graft allegations revolving round the acquisition of a giant Nigerian oilfield in 2011.   Shell and Eni Source : businessday.ng In that case Eni and peer Royal Dutch Shell are accused of buying the OPL 245 offshore field for about 1.3 billion U.S. dollar in a deal that spawned one of the industry’s largest graft scandals. Milan prosecutors allege that about 1.1 billion U.S. dollar of the total was siphoned off to pay politicians, businessmen and middlemen. Eni and Shell have denied any wrongdoing. “Today’s decision by the DOJ confirms the findings of independent advisors, who conducted investigations into the claims... which also found no illegal activity,” Eni ...