In search of gas supplies: Italian Prime Minister Meloni visits Algiers

Italy's Prime Minister Giorgia Meloni travelled to Algiers on Wednesday. It is her second visit to Algeria since taking office and Meloni comes with clear goals: more gas supplies and tighter relations.

Italian Prime Minister Giorgia Meloni arrived in Algiers on Wednesday on a working visit. The timing of her trip is not random: as the war in the Middle East is negatively affecting liquefied natural gas (LNG) exports from Qatar, Italy is in need of more LNG from other countries.

With Algeria already in first place for gas exports to Italy (around 30% of Rome's total needs), consolidating that relationship has become a key goal for the Southern European country.

During her visit, Meloni is aiming to negotiate lower prices for Algerian gas. The two countries are connected through a direct pipeline, called the Transmed.

But despite these advantageous conditions, Italy may not easily obtain what it is looking for. Given the looming energy crisis resulting from the blocked Strait of Hormuz next to Iran, Algeria wants to sell its gas at market prices. Rome is reportedly offering investments in return for lower prices.

Another problem also remains: despite the existence of the Transmed pipeline, Algeria will have to rapidly increase its export capacities in the face of surging international demand and few alternative gas suppliers.