SONATRACH, VNG AG and ICA-FINANCE sign MoU on methane MRV, emissions reduction and carbon finance
- The memorandum was signed on 3 November 2026 during a climate finance and carbon markets workshop in Algiers.
- It builds on earlier agreements: an MoU with ICA‑FINANCE in October 2024 and one with VNG in June 2026 to cap methane across the gas value chain.
- The agreement targets deployment of Measurement, Reporting and Verification (MRV) systems and concrete actions to reduce methane emissions during operations.
- It promotes technology transfer, capacity building and securing climate financing through carbon credit mechanisms to support SONATRACH’s Climate Strategy and a proposed Algerian low‑carbon energy hub.
Signing
SONATRACH, VNG AG and ICA‑FINANCE AS signed a memorandum of understanding on 3 November 2026 at the International Conference Center in Algiers during a workshop on climate finance and carbon markets.
Context
The memorandum follows prior cooperation: an MoU with ICA‑FINANCE in October 2024 focused on emission‑reduction projects, and an MoU with VNG in June 2026 to cap methane emissions across the gas value chain. Those partnerships identified synergies and practical actions toward shared climate goals.
Objectives
The new MoU aims to support deployment of Measurement, Reporting and Verification (MRV) systems and implement concrete measures to reduce methane emissions during operations. It also includes provisions for technology transfer, capacity building and mechanisms to secure climate financing via carbon credits.
Strategic alignment
The memorandum aligns with SONATRACH’s Climate Strategy to play a role in the medium‑ and long‑term energy transition, including developing and exporting low‑carbon energy solutions and creating an energy hub in Algeria to support that transition.
Source: SONATRACH