While initial tests for shale gas extraction in the desert and nearby areas were successful, the government ultimately yielded to the demonstrators' demands and announced the discontinuation of hydraulic fracturing plans. However, there were tentative indications that this might not mark the end of the matter.
Official Plans Unannounced
Pranav Joshi, head of the Africa research team at consultancy Rystad, notes, "There are no formal government plans to extract shale resources, but the government has created a separate tax system for companies in unconventional gas, which suggests there is still some interest."
In 2023, the state energy company Sonatrach indicated its "commitment" to increasing investment in shale oil, while ExxonMobil announced at the beginning of 2024 that it was in "talks" to explore new opportunities in the country.
The investigative team inquired with ExxonMobil about whether future plans in the country would involve hydraulic fracturing. A spokesman for ExxonMobil responded by stating that the company "does not comment on the details of commercial strategy."
Activists continue to harbor deep concerns regarding the potential of hydraulic fracturing. Hamza Hamouchane, an Algerian activist based in the UK, expressed skepticism, stating, "There is a feeling that when the government said it would not pursue fracking in the last decade, it was really just to silence the population and direct attention elsewhere." He further emphasizes, "Since then, there has been no information from official sources, and the journalists or activists looking into the matter are either in prison or too afraid to investigate. Whether Algeria has been subjected to fracking, no one knows."
Hamouchane highlights that fracking poses a "major concern" due to apprehensions about water supplies in desert regions where extraction activities occur in Algeria. He asserts that European demand for new natural gas sources is the primary motivation for the Algerian government, stating, "The Algerian regime relies on gas extraction and the foreign currency it receives from European exports for its existence." Additionally, he notes, "At the same time, the government fears that domestic demand for gas will deplete much of the supply as the population grows, and therefore, any opportunity to increase exports is of great importance to them."
Using satellite images, the investigative team acquired evidence indicating that Algeria is currently engaging in hydraulic fracturing to facilitate the expansion of its natural gas sector and intends to escalate such activities further in the future.
Nils Bartsch, the head of oil and gas research at the German non-profit Urgewald Foundation, elucidates that the prominent hydraulic fracturing operations observed in Algeria are not targeting shale resources but rather tight gas reservoirs.
Tight gas resources are natural gas reserves confined within rock formations with low permeability, posing challenges to extraction. Typically found in sandstone or limestone formations, these reservoirs necessitate extensive hydraulic fracturing to increase permeability and enable gas flow.
Tight gas formations dating back approximately 248 million years predate conventional gas deposits. Extracting gas from these formations involves horizontal or directional drilling techniques to access the gas deposits. Methods such as hydraulic fracturing and acidification are employed to fracture rocks and enhance permeability to stimulate production. Maximizing gas recovery often involves drilling multiple wells in these trapped formations.