Algeria Opens 2026 Upstream Licensing Round to Bolster Output and Investor Inflows

Algeria has formally unveiled its 2026 upstream licensing round, offering seven exploration blocks in a move aimed at revitalising investment flows and scaling hydrocarbon production.

Announced in Algiers during a briefing attended by international oil and gas companies, the round—branded “Algeria Bid Round 2026”—targets acreage across the Ouargla, Illizi, Touggourt and El Bayadh basins. The assets span both oil- and gas-prone zones, underscoring the country’s dual focus on liquids growth and gas supply expansion.

Authorities indicate that the blocks hold substantial resource potential, with estimates suggesting hundreds of millions of barrels of oil and sizeable gas volumes. The offering is positioned to attract both established operators and new entrants seeking exposure to North Africa’s upstream opportunities.

The bid process will begin with a technical phase from 1 June, granting access to data rooms, tender documentation and virtual roadshows. This will be followed by an extended evaluation period, including data review and clarification rounds, scheduled to run through to the end of October.
Bids are due on 26 November, with contract awards expected to be finalised by 31 January next year. Agreements with state energy company Sonatrach will be structured under production-sharing or participation frameworks, consistent with Algeria’s established upstream contracting model.

Hydrocarbons Minister Mohamed Arkab said the round forms part of a broader strategy to reinforce Algeria’s standing in global energy markets. He noted that increased upstream activity would support production growth, strengthen energy security and consolidate the country’s position as a key regional supplier.

As an OPEC member, Algeria has been stepping up efforts to expand its upstream capacity amid tightening global supply dynamics and sustained demand for both oil and natural gas. The 2026 bid round is expected to play a central role in unlocking new reserves and sustaining long-term output growth.