Morocco's natural gas production set to begin by late 2025

Thursday 30 January 2025 - 07:33

By: Dakir Madiha

Morocco's natural gas production set to begin by late 2025

Morocco is on the cusp of entering the liquefied natural gas (LNG) market, marking a pivotal moment in its quest for energy independence. The Tendrara gas liquefaction facility, developed by British company Sound Energy, is nearing completion in eastern Morocco, with production trials slated to begin next summer.

Sound Energy CEO Graham Lyon announced that commercial production is expected to start by late autumn, initially producing 10 million cubic feet of gas daily. This capacity is forecasted to expand to 40 million cubic feet per day as additional fields become operational.

The Tendrara field, one of Morocco's largest onshore gas reserves, is estimated to contain 10.67 billion cubic meters of natural gas. This initiative aims to diminish Morocco's current reliance on imported gas, which fulfills a significant portion of the country's energy needs, including electricity generation and industrial processes.

The liquefied gas will be distributed to Africa Gas, Morocco's leading fuel distribution company and part of the Akwa Group, a conglomerate involved in various sectors including energy and retail. Recently, Sound Energy sold a 55% interest in the concession to Moroccan mining firm Managem for $45 million, while retaining a 20% stake. The remaining 25% is held by the state-owned National Office of Hydrocarbons and Mines.

In tandem with the gas field development, Sound Energy and Managem are also constructing a $400 million pipeline that will connect to the Maghreb Europe pipeline, which is currently partially utilized for gas supplies from Spain, following Algeria's recent termination of its participation.

This project underscores Morocco's commitment to enhancing its energy autonomy and bolstering domestic gas production capabilities.