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Algeria Begins Operations at Major Zinc-Lead Mine to Diversify Beyond Oil and Gas

Algeria Begins Operations at Major Zinc-Lead Mine to Diversify Beyond Oil and Gas
Wednesday, 18 March 2026 13:09
  • Algeria launches major zinc-lead mine in Bejaia province
  • Deposit holds 54Mt ore, targets 170kt zinc annually
  • Project supports diversification, reduces reliance on hydrocarbons

Algeria began operations at a major zinc and lead mine on Tuesday, marking a key step in its mining development strategy. Prime Minister Sifi Ghrieb officially inaugurated the site on March 17.

Located in Bejaia province in the country’s northeast, the deposit holds 54 million metric tons of raw ore, of which 34 million can be directly mined. It is expected to produce 2 million metric tons of raw ore per year, processed locally to yield about 170,000 metric tons of zinc and 30,000 metric tons of lead, according to a presentation by the Société nationale de recherche et d'exploitation minière (Sonarem).

The project has been awarded to Bejaia Zinc and Lead (BZL), an Algerian-Australian joint venture comprising the Entreprise nationale des produits miniers non-ferreux et des substances utiles (ENOF), the Office national de recherche géologique et minière (ORGM), and Australian mining company Terramin. It requires a total investment of $471 million and is expected to meet domestic demand while generating a surplus for export.

Mining sector push

The development of this deposit is part of a strategy to position mining as a key driver of economic diversification. It is the second major project to begin operations this year, following the launch of the Gara Djebilet iron ore deposit in the country’s southwest in February.

The mining industry currently accounts for about 1% of Algeria’s gross domestic product. The sector is expected to help reduce the country’s reliance on hydrocarbons.

In June 2025, Algeria’s parliament passed a law allowing foreign companies to hold up to 80% stakes in mining projects to attract more investment. The legislation also introduces simplified administrative procedures, shorter timelines for granting mining permits and titles, greater transparency in awarding concessions, and open access to geological data.

Walid Kéfi 

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