Algeria has launched a new international licensing round offering seven hydrocarbon exploration blocks, as it seeks to attract fresh investment into its upstream sector and build on momentum from the previous 2024 bid round.

The 2026 round comprises seven onshore blocks: Illizi Centre 1 (Illizi basin), El M'Zaid North (Oued Mya basin), El Borma II (Berkine basin), East Bordj Omar Driss 1 (Illizi basin), El Hadjira III (Oued Mya basin), El Benoud East (Benoud trough basin), and Touggourt South (Amguid Berkin).

Release of tender documents, access to Virtual Data Rooms (VDR) and online technical presentations, clarification sessions will run from 1 June 2026, and end on 31 October 2026, according to report by Algeria Press Service.

EXALT,  a partnership between ALNAFT and SLB, has been entrusted with the data licensing under the supervision and guidance of the Bid Round (BR) Committee.

The deadline for bid submissions is set for 26 November 2026 between 8:00 a.m. and 10:30 a.m. (Algeria time), with contract awards to be announced the same day (at 11:00 a.m. Algeria time). Successful bidders are expected to sign contracts with Algeria's national oil company Sonatrach by 31 January 2027.

Bids for the Est Bordj Omar Driss I perimeter shall be evaluated based on technical criteria only, while bids for the Illizi Centre I, El M’Zaid Nord, El Borma II, El Hadjira III, El Benoud Est and Touggourt Sud perimeters shall be evaluated based on both technical and financial criteria.

Contractual frameworks on offer include production sharing and participation agreements, depending on the block.

Proximity to existing processing facilities and pipeline infrastructure is expected to lower development costs and accelerate time to production.

The exploration period is for seven years with two-year extension provision. The production phase is for 30 years minus the time spent on exploration, and with a provision for a 10-year extension. The end of the production phase is followed by abandonment and site restoration phase.

(Writing by Majda Muhsen; Editing by Anoop Menon)

(anoop.menon@lseg.com)

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