Sat. Jul 12th, 2025

Algeria Strikes Gold: Oil Giants Rush to Secure Massive Upstream Blocks Worth Billions

In a dramatic return to the international energy stage, Algeria has ignited a fierce bidding war among global oil majors for six massive onshore blocks spanning 152,000 square kilometers. The country’s first upstream licensing round in over a decade has attracted 41 high-stakes bids from industry titans including TotalEnergies, Chevron, ExxonMobil, BP, and Equinor, with final awards expected by June 17, 2025.

Energy Minister Mohamed Arkab revealed that Algeria is targeting a staggering $50 billion in investment through 2028, positioning the nation to capitalize on its enormous reserves of 12 billion barrels of oil and 159 trillion cubic feet of natural gas. The government’s aggressive five-year licensing roadmap through 2029 signals a major shift in Algeria’s energy strategy, with a second licensing round already scheduled for October 2025.

Industry insiders describe the auction as a game-changer for North African energy, with the potential to reshape regional oil and gas dynamics. The 2019 hydrocarbons law reforms have streamlined contract terms and introduced flexible fiscal regimes, making Algeria increasingly attractive to international operators seeking new opportunities in a volatile global market.

Source: Petroleum Economist

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