Algeria’s National Agency for the Valorization of Hydrocarbon Resources (ALNAFT) has confirmed that the official bid opening ceremony for its 2024 oil and gas licensing round will take place on June 17, 2025. The announcement marks a critical milestone in the country’s renewed push to invigorate upstream investment, following a decade-long pause in licensing activities.
Launched in November 2024, the current bid round offered six onshore blocks and has garnered considerable international attention, with expressions of interest submitted by 41 operators from across the globe, including key players in North America and Asia. ALNAFT has indicated that it anticipates awarding at least five of the six blocks available.
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Long-term licensing plan
Speaking during a webinar co-hosted with the African Energy Chamber (AEC) and energy research firm Wood Mackenzie, ALNAFT Chairman Mourad Beldjehem emphasized that Algeria’s long-term licensing plan aims to offer a consistent pipeline of exploration and development opportunities. He noted that the 2024 round is supported by robust subsurface data packages, enabling prospective investors to make informed decisions.
“Our licensing strategy is designed to appeal to a broad range of investors, balancing frontier exploration with lower-risk, development-ready acreage,” Beldjehem stated. He also revealed that preparations are underway for a 2025 Bid Round, expected to launch in the final quarter of this year and include a similar blend of asset types.
The webinar, titled Unlocking North Africa’s Gas Riches: Focus on Algeria, forms part of a broader series organized ahead of African Energy Week 2025, scheduled to take place from September 29 to October 3 in Cape Town, South Africa. The session provided key insights into Algeria’s natural gas market and the impact of recent regulatory reforms.
Since the introduction of a revised Hydrocarbon Law in 2019, Algeria has witnessed a turnaround in its upstream sector, reversing production declines and attracting renewed foreign interest. According to Wood Mackenzie analysts, the updated fiscal terms have significantly improved the investment climate compared to previous frameworks.
“Production had been falling until 2021, but recent legislative reforms have changed that trajectory,” noted Martijn Murphy, Principal Analyst at Wood Mackenzie. He added that Algeria is on track to sustain daily sales gas production of approximately 10 billion cubic feet through the end of the decade.
The government’s ambition to increase annual natural gas output to 200 billion cubic meters over the next five years aligns with rising demand in Europe, where energy diversification strategies are prompting a shift away from traditional suppliers.
“Algeria’s geographic proximity to Europe, combined with a more competitive regulatory environment, positions it as a crucial partner in meeting the continent’s long-term gas needs,” said Verner Ayukegba, Senior Vice President at the AEC.
