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Algeria, Russia to Produce 2Mln Cubic Meters of Gas Daily in 2026

Russian President Vladimir Putin meets Algerian Prime Minister Aymen Benabderrahmane on the sidelines of the Russia-Africa summit in St. Petersburg. (EPA)
Russian President Vladimir Putin meets Algerian Prime Minister Aymen Benabderrahmane on the sidelines of the Russia-Africa summit in St. Petersburg. (EPA)
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Algeria, Russia to Produce 2Mln Cubic Meters of Gas Daily in 2026

Russian President Vladimir Putin meets Algerian Prime Minister Aymen Benabderrahmane on the sidelines of the Russia-Africa summit in St. Petersburg. (EPA)
Russian President Vladimir Putin meets Algerian Prime Minister Aymen Benabderrahmane on the sidelines of the Russia-Africa summit in St. Petersburg. (EPA)

Russian Energy Minister Nikolay Shulginov announced on Thursday a partnership with Algeria to produce two million cubic meters of gas daily.  

Meanwhile, Algeria and Japan signed an agreement to establish a committee to develop economic cooperation and trade between their countries.   

The developments reflect a new Algerian approach in seeking new partners, away from the traditional partners, especially in Western Europe.   

Gazprom plans to start the production of hydrocarbons at the El Assel area in Algeria in 2026, Shulginov said in an interview with TASS on Thursday.   

The project is a $1 billion investment between Gazprom and Algerian oil company Sonatrach to develop two newly discovered fields in the El Assel area and Hassi Messaoud (900 km to the south of the capital).  

The partnership aims to produce two million cubic meters of natural gas daily, more than 1,000 tons of condensers, and more than 220 tons of liquefied petroleum gas.   

"We also discussed Gazprom’s operations in the country. In 2026, the company plans to start the production of hydrocarbons in the El Assel area," Shulginov said.  

Overall, Moscow and Algiers agreed to expand the presence of Russian companies in gas production projects in Algeria, the minister added.

The announcements were made in wake of Algerian President Abdelmadjid Tebboune’s visit to Russia in mid-June.

Gazprom and Sonatrach are jointly developing the El Assel area in the country. Gazprom International is the operator of the project at the geological exploration stage. Gazprom’s share in the project totals 49%, while Sonatrach holds 51%.   

Shulginov made his remarks ahead of the 2023 Russia–Africa Summit in St. Petersburg on Friday.   

Russian gas companies are ready to participate in projects on the supply of LNG and on the construction of gas infrastructure in Africa, he added.  

He further revealed Moscow’s plans to expand in Africa.   

Meanwhile, Algeria’s Acting Secretary General of the Ministry of Foreign Affairs and National Community Abroad Noureddine Khandoudi and Japan’s Ambassador to Algeria Kono Akira signed an agreement to set up the Algeria-Japan Joint Economic Committee.  

The Committee will be co-chaired by high-level government representatives, read the agreement.   

Japan’s Ambassador stressed that Japanese businessmen are interested in investing in Algeria.  

He hailed the “significant efforts exerted by Algeria in enhancing the business climate, especially with the issuance of the new investment law and other legislations.” 

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Business

Aljadaan: Emerging Markets Account for 70% of Global Growth

Al-Jadaan speaking to the attendees at the "AlUla Conference for Emerging Market Economies" (Asharq Al-Awsat
Al-Jadaan speaking to the attendees at the "AlUla Conference for Emerging Market Economies" (Asharq Al-Awsat
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Aljadaan: Emerging Markets Account for 70% of Global Growth

Al-Jadaan speaking to the attendees at the "AlUla Conference for Emerging Market Economies" (Asharq Al-Awsat
Al-Jadaan speaking to the attendees at the "AlUla Conference for Emerging Market Economies" (Asharq Al-Awsat

Saudi Minister of Finance Mohammed Aljadaan stressed Sunday that the world economy is going through a “profound transition,” saying emerging markets and developing economies now account for nearly 60 percent of the global Gross Domestic Product (GDP) in purchasing power terms and over 70 percent of global growth.

In his opening remarks at the AlUla Conference for Emerging Market Economies, organized by the Saudi Ministry of Finance and the IMF in AlUla, the minister said these economies have become an increasingly important driver of global growth with their share of global economy more than doubling since 2010.

“Today, the 10 emerging economies in the G20 alone account for more than half of the world growth. Yet, they face a more complex and fragmented environment, elevated debt levels, slower trade growth and increasing exposure to geopolitical shocks.”

“Unfortunately, more than half of low income countries are either in or at the risk of debt distress. At the same time global trade growth has slowed at around half of what it was pre the pandemic,” Aljadaan added.

The Finance Minister stressed that the Saudi experience over the past decade has reinforced three lessons that may be relevant to the discussions at the two-day conference, which brings together a select group of ministers and central bank governors, leaders of international organizations, leading investors and academics.

“First, macroeconomic stability is not the enemy of growth. It is actually the foundation,” he said.

“Structural reforms deliver results only when institutions deliver. So there is no point of reforming ... if the institutions are unable to deliver,” he stated.

Finally, he said that “international cooperation matters more, not less, in a fragmented world.”

Business

Georgieva from AlUla: Growth Still Lacks Pre-pandemic Levels

Kristalina Georgieva speaking to attendees at the second edition of the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat)
Kristalina Georgieva speaking to attendees at the second edition of the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat)
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Georgieva from AlUla: Growth Still Lacks Pre-pandemic Levels

Kristalina Georgieva speaking to attendees at the second edition of the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat)
Kristalina Georgieva speaking to attendees at the second edition of the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat)

International Monetary Fund (IMF) Managing Director Kristalina Georgieva said Sunday that world growth still lacks pre-pandemic levels, expressing concern as she expected more shocks amid high spending and rising debt levels in many countries.

Georgieva spoke at the AlUla Conference for Emerging Market Economies, organized by the Saudi Ministry of Finance and the IMF in AlUla.

The two-day conference brings together a select group of ministers and central bank governors, leaders of international organizations, leading investors and academics to deliberate on policies to global stability, prosperity, and multilateral collaboration.

Georgieva said that the conference was launched last year in recognition of the growing role of emerging market economies in a world of sweeping transformations.

“I came out of this gathering .... With a sense of hope for the pragmatic attitude and determination to pursue good policies and build strong institutions,” she said.

Georgieva stressed that “good policies pay off,” and said that growth rates across emerging economies reached four percent this year, exceeding by a large margin those of advanced economies that are around 1.5 percent.

Business

Saudi Arabia’s flynas, Syrian Civil Aviation Authority Partner to Launch 'flynas Syria'

The new airline will operate commercial air transport services in accordance with approved regulations and standards (flynas)
The new airline will operate commercial air transport services in accordance with approved regulations and standards (flynas)
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Saudi Arabia’s flynas, Syrian Civil Aviation Authority Partner to Launch 'flynas Syria'

The new airline will operate commercial air transport services in accordance with approved regulations and standards (flynas)
The new airline will operate commercial air transport services in accordance with approved regulations and standards (flynas)

Saudi budget carrier flynas has signed an agreement with the Syrian General Authority of Civil Aviation and Air Transport to establish a new commercial airline under the name "flynas Syria," with operations scheduled to begin in the fourth quarter of 2026.

Saturday’s agreement comes within the framework of bilateral cooperation between Saudi Arabia and Syria, as well as the strategic investment agreements between the two countries, coordinated with the Saudi Ministry of Investment and the Syrian General Authority of Civil Aviation and Air Transport.

The new airline will operate commercial air transport services in accordance with approved regulations and standards, meeting the highest safety and aviation security requirements. All licensing and operational procedures will be completed in coordination with the relevant authorities.

The carrier will be established as a joint venture, with 51% ownership held by the Syrian General Authority of Civil Aviation and Air Transport and 49% by flynas.

The new airline will operate flights to several destinations across the Middle East, Africa, and Europe. This expansion aims to bolster air traffic to and from Syria, enhance regional and international connectivity, and meet growing demand for air travel.

"This step is part of our commitment to supporting high-quality cross-border investments. The aviation sector is a key enabler of economic development, and the establishment of 'flynas Syria' serves as a model for constructive investment cooperation,” said Saudi Minister of Investment Khalid Al-Falih.

“This partnership enhances economic integration and market connectivity and supports development goals by advancing air transport infrastructure, ultimately serving the mutual interests of both nations and promoting regional economic stability,” he added.

President of the Syrian General Authority of Civil Aviation and Air Transport Omar Hosari also stated that the establishment of flynas Syria represents a strategic step within a comprehensive national vision aimed at rebuilding and developing Syria's civil aviation sector on modern economic and regulatory foundations.

“This will be achieved while balancing safety requirements, operational sustainability, investment stimulation, and passenger services. The partnership reflects the state's orientation toward smart cooperation models with trusted regional partners, ensuring the transfer of expertise, the development of national capabilities, and the enhancement of Syria's air connectivity with regional and international destinations, in line with global best practices in the air transport industry."

flynas Chairman Ayed Al-Jeaid stated that the company continues to pursue strategies aimed at growth and international expansion, describing the agreement as a historic milestone in the company's journey and a promising investment model in partnership with Syria.

flynas CEO Bander Al-mohanna said the step represents a qualitative leap in the company's strategy and financial performance, highlighting the transfer of the company's low-cost aviation experience to the Syrian market to support regional and international air connectivity.

flynas currently operates 23 weekly flights from Riyadh, Jeddah, and Dammam to Damascus, including two daily direct flights from Riyadh, one daily flight from Jeddah, and two weekly flights from Dammam.

The airline made history on June 5, 2025, by adding the Syrian capital to its network, becoming the first Saudi carrier to resume scheduled flights to Damascus.