10 New Mining Projects Set to Strengthen Algeria’s Economic Growth in 2024

BY: Hana Saada

Algiers, September 27, 2023 – Algeria is on the cusp of a significant transformation in its mining industry, with the announcement that ten new mining projects are scheduled to enter the operating phase in 2024. The Minister of Energy and Mines, Mohamed Arkab, made this revelation during an inspection visit to the north-western region of the country, where he emphasized the pivotal role these projects will play in the nation’s economic development in the years to come.

In his statement during the visit, Minister Arkab stated, “In 2024, the sector will see the entry into operation of several mining projects in different regions of the country to strengthen the national production of raw materials.”

These upcoming projects underscore Algeria’s commitment to exploiting its abundant mineral wealth and fostering growth in the mining sector, which has been gaining momentum thanks to a new, more pragmatic investment policy.

In addition to high-profile projects such as the Gara Djebilet iron mine megaproject, the integrated phosphate project, and the Oued Amizour zinc and lead project, which are set to commence operations next year, Algeria is also gearing up for numerous other initiatives. These include projects dedicated to the production of barite, bentonite, clay, dolomite, gypsum, lime, perlite, rhyolite, sulfur, tuff, and more, all of which have recently been launched and are expected to start production soon.

Over the past few years, Algeria’s mining sector has experienced a resurgence after decades of underdevelopment. With a newfound openness to both local and foreign investments, the sector has exhibited remarkable growth, with an impressive 7% increase during the first quarter of the current year. This growth is poised to continue as several projects enter the production phase.

The success of the mining sector is now pivotal to the diversification of Algeria’s national economy and its contribution to the GDP. Key areas of focus include the enrichment of obsolete deposits, the exploration of new mines, and the acceleration of research and exploration activities within the sector.

During his visit, Minister Arkab also inaugurated a bentonite production plant with an annual capacity of 120,000 tonnes. The plant is strategically located in an area with reserves exceeding 9 million tonnes of bentonite. This project is not only of immense significance to the country but will also contribute to reducing Algeria’s import bill, as international prices for a tonne of bentonite hover around $250.

The impending commencement of these new projects is expected to elevate Algeria’s mining production, further bolstered by the current high prices of raw materials in the international market. As the country continues to harness its mineral resources, the mining sector’s vital role in the nation’s economic landscape becomes increasingly evident.