Alergia is expected to start shale gas licensing bid round by the end of 2014
Algeria is planning a tender that will invite bids for exploration and production licences for shale gas concessions in the North African state.
Local media reports indicate the tender will come after a hydrocarbons law was passed in early 2013 that paved the way for the development of domestic non-conventional gas resources.
The exact timeline of the tenders was not released, but each concession will be developed in partnership with Algerias state-owned oil company Sonatrach. However, progress is expected to be made during 2014, with exploration and production tenders being initiated by the end of 2014.
MEED reported in mid-January that Algerias shale gas reserves are six times greater than conventional reserves of the resource according to the National Agency for the Evaluation of Hydrocarbon Resources.
The agency stated shale gas reserves in the North African state are about 953.5 trillion cubic feet, compared with 159 trillion cubic feet of conventional reserves. This is higher than initial reserves of 688.6 trillion cubic feet.
Algerias Water Resources Ministry assured Sonatrach in mid-2013 that there would be enough water in the country to facilitate large-scale shale gas production.
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