Algeria Emerges as Europe’s Energy Anchor as Italy and Spain Deepen Gas Partnerships
Africa’s largest gas producer, Algeria, is fast becoming a strategic energy lifeline for Southern Europe, as countries like Italy and Spain move to secure stable supplies amid ongoing disruptions linked to the Middle East conflict.
During a high-level visit to Algiers, Italian Prime Minister Giorgia Meloni announced a renewed push to expand gas imports from Algeria following bilateral talks with President Abdelmadjid Tebboune. The discussions mark a significant step in strengthening energy cooperation between the two nations at a time when global gas markets remain volatile.
Italy, which has been grappling with reduced liquefied natural gas (LNG) flows from Qatar, previously accounting for roughly 10% of its annual consumption, is now prioritising alternative, reliable partners. Algeria has quickly emerged as a frontrunner.
“We have agreed to deepen our cooperation, particularly through our national champions,” Meloni stated, referencing partnerships between Eni and Sonatrach. She further highlighted new opportunities in shale gas exploration and offshore energy projects, signaling a long-term vision to significantly boost gas flows from Algeria into Italy.
While specific timelines for increased supply remain undisclosed, Algeria has reaffirmed its commitment to meeting Europe’s energy needs. President Tebboune emphasised the country’s readiness to honour its agreements, positioning Algeria as a dependable partner in navigating the uncertainties of global oil and gas markets.
Italy’s urgency is clear. The government, led by Energy Minister Gilberto Pichetto Fratin, is actively engaging multiple suppliers to diversify its energy sources and strengthen national energy security. Already, Algeria plays a pivotal role, supplying approximately 20 billion cubic metres of gas in 2024, nearly 30% of Italy’s total demand. Notably, half of this volume is delivered through long-standing agreements between Sonatrach and Eni.
Spain Reassesses Its Energy Strategy
The shift toward Algerian gas extends beyond Italy. Spain is also recalibrating its energy strategy, exploring increased pipeline imports from Algeria as it contends with rising global gas prices fueled by geopolitical tensions.
Historically, Algeria was Spain’s largest gas supplier. However, supply dynamics shifted following the shutdown of a key pipeline route through Morocco, which disrupted direct flows and forced Madrid to rely more heavily on LNG imports from major exporters like the United States and Qatar.
Now, with energy security back at the forefront, Spain is revisiting its partnership with Algeria, recognising the strategic advantage of geographically proximate and pipeline-based supply.
A New Energy Order Emerging
As the Middle East conflict continues to reshape global energy flows, Algeria’s role is rapidly expanding from regional supplier to critical energy hub for Europe. With strengthened alliances, ongoing investments, and a clear commitment to reliability, the North African nation is positioning itself at the centre of a new energy order, one defined by resilience, diversification, and strategic cooperation.
