New gas prospecting increases Morocco's natural gas reserves exponentially
Expectations of natural gas resources continue to increase exponentially in Morocco. Historically, the North African country has been heavily dependent on foreign markets for energy due to a lack of its own resources in this regard, but in recent years there have been explorations and discoveries of both oil and gas reserves that are increasing the North African nation's possibilities for greater self-sufficiency and even for future commercial exchanges.
The Minister of Energy Transition and Sustainable Development, Leila Benali, recently announced the discovery of new reserves that would allow Morocco to increase its natural gas production by 300%. The challenge, according to media outlets such as Asharq Business, is to reach an annual production of 400 million cubic metres compared to the 100 million cubic metres currently produced.
This exponential leap in Moroccan gas production would make it possible to cover 40% of domestic consumption, according to statements made by Minister Leila Benali to the media Economía del Este. In an interview on the sidelines of the Bloomberg Forum for the New Economy in Africa, held in Marrakech, the minister reported on new discoveries in progress in the regions of Tendrara and Larache, with a production capacity of at least 300 million cubic metres, discoveries that will cover electricity production needs for about 20 years. The challenge is that by 2050, the country's energy consumption will shift from 90% imported energy from abroad to 80% local production, and the new gas discoveries contribute to this.
The Moroccan kingdom continues to explore for gas in order to increase its supply and become a major producer in the region, as until now it has been in the shadow of neighbouring and political rival Algeria, the Maghreb's great gas-producing giant. Studies carried out over the years have shown that the Moroccan subsoil is rich in gas, and the aim is to take advantage of this for national economic development. "Morocco has several onshore and offshore sedimentary basins whose geology has allowed the genesis of different petroleum systems that could potentially be favourable to the accumulation of gas deposits," explained Abdellah Mouttaqi, secretary general of the National Office of Hydrocarbons and Mines (ONHTM). The Tendrara and Larache areas are great examples with prospecting work being carried out with companies such as the British companies Sound Energy or Chariot. The Gharb area, the province of Kenitra and other enclaves such as Essaouira, Guersif, Zag, Boudnib and Missour are also included in the development plan for the Moroccan gas industry.
Morocco's annual consumption of natural gas is estimated at around one billion cubic metres, which is achieved through international cooperation with countries such as Spain, Portugal and France, as explained by the Minister of Energy Transition and Sustainable Development, and the expected 300% increase in production would be good news because it would reach 400 million cubic metres per year.
Until recently, Morocco was obtaining a significant part of natural gas from Algeria through the Maghreb Europe Gas Pipeline (GME), but after the diplomatic rupture between the two countries in August 2021 and the termination of the contract signed with Algeria in October 2021, the country resorted to exploiting the part located in its territory of the pipeline in reverse to obtain liquefied natural gas from the European market through Spain. The monthly import of liquefied natural gas (LNG) from Morocco to Spain through the Maghreb Europe pipeline grew by more than 167% at the end of April, which shows the importance of this supply route.
Minister Leila Benali explained a few weeks ago that access to the international LNG market is important to accelerate the development of renewable energies and move away from fossil fuels, as well as to decarbonise electricity and industry and reduce the national energy bill. This is a necessary path for the Moroccan kingdom to continue on the path of reducing dependence on fossil fuels in order to embrace environmentally friendly renewable energies. Recent increases in natural gas imports indicate that Morocco is working to diversify its energy supply and reduce its dependence on fossil fuels, such as oil and coal, as the alternative of cleaner, more efficient energy becomes more attractive. The fight against climate change and respect for the environment is a clear objective of the Moroccan kingdom, which aims for its new energy plan to be based on a high percentage of clean energy by 2050, as fossil fuels are a highly polluting industry. The more short-term goal for 2030 is for 52% of the country's electricity production to come from renewable energies.
In addition, Morocco plans to modernise its pipeline and port infrastructure to secure supplies from abroad, as on Tuesday, the Ministry of Energy Transition and Sustainable Development and the International Finance Corporation (IFC), an affiliate of the World Bank Group, signed an agreement to review the natural gas roadmap and organise a public-private partnership to develop sustainable gas infrastructure in the country, as reported by Asharq Business.
The North African country is firmly committed to its own production and generation from renewable sources in order to have greater stability in the energy market and not depend on external elements and circumstances that may affect it, as is currently the case with rising prices and energy supply problems arising from the war in Ukraine.