The project is expected to engage in gas production until 2041. Credit: Repsol.

Spain-based oil and gas firm Repsol has commenced production from the Reggane Nord gas fields in south-west Algeria.

The Reggane project is located around 1,500km from Algiers in the Sahara desert and is expected to be running at the full capacity of eight million cubic meters of gas per day from January next year.

The company estimates that production from the field is enough to supply more than 10% of Spain’s total gas demand.

“This project fits in with the company’s focus on gas as a key transition fuel into a less carbon-intensive energy mix.”

In a statement, Repsol said: “This project fits in with the company’s focus on gas as a key transition fuel into a less carbon-intensive energy mix.

“Two-thirds of Repsol’s overall production is gas, which also accounts for three quarters of the company’s reserves.”

Repsol currently holds 29.25% interest in the Groupement Reggane-Nord (GRN) consortium, while its partners Sonatrach, DEA Deutsche Erdoel and Edison hold 40%, 19.5% and 11.25% respectively.

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Six gas fields, namely Azrafil Sud-Est, Kahlouche, Kahlouche Sud, Tiouliline, Sali and Reggane, are contributing to the Reggane Nord development.

The company expects the Reggane North project to be in production until at least 2041.

Repsol and its partners have also built a central processing facility and associated infrastructure to process the gas received from the wells distributed across the six fields.

The infrastructure includes 209km of collecting gas systems and a 74km-long pipeline linking the project and Algeria’s export facilities.

The company currently holds the rights to five production blocks and two exploration blocks in Algeria.