The Algerian Ministry of Hydrocarbons and Mines has announced that it will launch a new bidding round for international companies to gain exploration and development rights for oil and gas blocks.
The round will be called “Algeria Bid Round 2026” and will follow the previous “Algeria Bid Round 2024”, which saw five hydrocarbon exploration and production licences awarded to selected companies. The exact details of the Round 2026 timeline and the blocks on offer have not yet been announced.
The National Agency for the Development of Hydrocarbon Resources (ALNAFT) will oversee the launch of Round 2026, which forms part of broader efforts by ALNAFT to promote investment in up to 17 hydrocarbon projects to international investors.
With the global energy supply chain and its infrastructure facing intense pressure, Algeria is looking to benefit from its forward thinking and will likely build further on growing international investment from east and west.
Converging interests
Historically, Algeria’s energy sector lacked deep foreign capital, as international agreements were designed to favour the state oil company Sonatrach. In the 2014 international bidding round, the last one before 2024, only four of the 31 available blocks were awarded.
In 2019, the Algerian government passed Hydrocarbon Law No. 19-13, which reintroduced production sharing contracts and improved fiscal terms. This new legal framework came at the right time, as global oil consumption continued to grow and geopolitical tensions revealed weaknesses in global energy supplies.
The 2024 bidding round marked a clear departure from 2014 and triggered a wave of American, Chinese, European, and Gulf capital all converging on Algeria simultaneously.
