Algeria eyes shale gas, offshore prospects to boost upstream growth
Officials highlight new licensing, unconventional reserves and strategic role in European energy security
ALGIERS, Algeria (MNTV) — Algeria is ramping up its upstream energy strategy with a focus on frontier zones, shale gas development and offshore exploration, as government regulators and Sonatrach executives outlined fresh opportunities for investment at African Energy Week 2025.
Samir Bekhti, President of ALNAFT, said the regulator’s priority is unlocking Algeria’s vast hydrocarbon potential, pointing to its position as one of the region’s largest resource holders, reported AEC Week.
“We are prioritizing frontier areas to expand reserves and production,” he stated, citing over 700 trillion cubic feet of un-risked shale gas and a renewed push into offshore drilling.
Bekhti confirmed that eight hydrocarbon contracts were finalized in 2025 and announced that new licensing rounds are scheduled for early 2026. “We will offer new blocks in the first or second quarter of next year,” he said, stressing that Algeria’s legal and fiscal framework remains competitive for investors.
Sonatrach’s Executive Vice President for Business Development and Marketing, Ferhat Ounoughi, described shale gas as the country’s most strategic resource, ranking third globally in scale.
He emphasized the importance of cost efficiency in development, urging greater domestic manufacturing of equipment to reduce reliance on imports. “Unlocking these reserves depends on operational efficiency,” he noted.
Ounoughi also outlined efforts to advance enhanced oil recovery and expand into green energy, adding that Algeria’s role as a reliable supplier is closely tied to Europe’s energy security amid shifting geopolitical realities.
Industry leaders echoed Algeria’s potential. SLB’s North Africa Managing Director, Khaled Saidi, highlighted the country’s “significant offshore prospects” and stressed the adoption of automation and digital tools to boost output.
Emerson Africa Vice President Cedric Soenens said his firm is working with Sonatrach to optimize costs, support production, and maintain safety across upstream operations.
International companies are also eyeing entry. Massimiliano Mignacca, Managing Director of AMMAT Global Resources, called Algeria a “strategic partner for Italy” and confirmed the company is preparing proposals to launch local operations.