NAOGS

PRESS RELEASE: North Africa to play key role in UK and European gas security - Lord Howell

17/10/10

 The Minister of State at the UK Foreign and Commonwealth Office, Rt. Hon. Lord Howell of Guildford, says North Africa will play a key role in UK and European gas security. In the build-up to the upcoming annual North Africa Oil & Gas Summit in Vienna

H.E. Eng. Sameh Fahmy, Minister of Petroleum, Arab Republic of Egypt will also deliver a keynote address to the many top decision makers from Libya, Egypt, Algeria, Tunisia, Morocco and Mauritania who will be present at the fifth annual summit which is regarded as the industry’s leading initiative to facilitate easy access to the North African oil and gas industry.

Increased access to European markets
According to Lord Howell, improved interconnection within the EU will increase access for North African gas to markets across Europe, not only those with LNG or pipeline terminals.  “Gas markets should operate on a commercial basis and it is the role of European and North African governments to ensure those markets operate as effectively as possible”.  He continues: “the EU will also be a market for solar power generated across North Africa as solar projects come to fruition, although the cost factor will remain central in determining the future energy mix.”

UK’s energy mix
Lord Howell says natural gas will continue to play a central role in the UK’s energy mix, in the medium term at least.  “We expect demand to continue to rise, in the UK and globally, even as we move to a low carbon economy. As gas production on the UK Continental Shelf declines, imports, primarily of LNG, will make up the balance.”  According to Lord Howell the move to greater gas use will itself assist in lowering carbon emissions, “like other gas consumers we shall also look for benefits from unconventional gas production world-wide.” 

Unconventional gas resources
According to Carole Nakhle, Senior Research Fellow at the Surrey Economics Centre and Special Parliamentary Advisor in the House of Lords, the recent changes in market conditions are putting increasing pressure on gas importers and exporters, including North African countries, to adjust pricing terms and even move towards an alternative pricing system, as the gap between the price of cheaper spot gas and the price of gas under their long-term contracts widens. 

“This is not all bad news for long-term contracts bringing gas from North Africa”, says Carole Nakhle, “everywhere we hear about gas being the transition fuel to low carbon economies – hence gas will still be among the dominant fuels in the coming decades.”  She continues:  “Also, outside of the US, unconventional gas resources have been overlooked and understudied. According to some estimates, North Africa could have substantial reserves of unconventional gas.”
 
The complete interviews with Lord Howell and Carole Nakhle can be viewed at:  www.northafricasummit.com

More confirmed high-level speakers and industry experts are:

  • H.E. Dr Shokri Ghanem, Chairman, NOC Libya
  • H.E. Eng. Sameh Fahmy, Minister of Petroleum, Arab Republic of Egypt
  • Khaled Becheikh, President & CEO, ETAP (Entreprise Tunisienne D’Activités Petrolières)
  • Jaap Huijskes, Member of the Executive Board, Head of E&P, OMV Aktiengesellschaft
  • Guido Michelotti, Executive Vice President North Africa and Middle East Region, Eni E&P Division
  • Ferdinando Rigardo, Regional Executive Director Europe, Asia & Africa, Upstream, REPSOL
  • Mehmet Uysal, President and CEO, TPAO (Turkish Petroleum Corporation)
  • Rt.Hon.Lord Howell of Guildford, Minister of State at the UK Foreign and Commonwealth Office
  • Jean-Francois Arrighi de Casanova, Senior Vice President North Africa E&P, TOTAL SA
  • Trevor Morgan, Senior Economist, International Energy Agency (IEA)

Event website: www.northafricasummit.com

Event dates and location: 2-4 November 2010 - Austria Trend Hotel Savoyen, Vienna

For more information:
Programme director: Cecilia Brown
Telephone: +44 (0) 20 7067 1822
Email: c.brown@theenergyexchange.co.uk

For more information, interviews and media accreditation:
Communications manager: Annemarie Roodbol
Tel. +27 21 700 3558
Fax. +27 21 700 3501
Mobile: +27 82 562 7844
Email: annemarie.roodbol@clarionevents.com

Email this article to a colleague Email this article to a colleague