The Mining Bill Proposes a Realistic Vision Enabling the Country to Fully Benefit from Its Natural Resources

The Minister of State, Minister of Energy, Mines, and Renewable Energies, Mohamed Arkab, stated that the draft law governing mining activities presents a realistic vision aligned with an economic approach that will allow the country to fully benefit from its natural resources.

Presenting the bill before members of the National People’s Assembly (APN) during a plenary session chaired by APN Vice President Ahcène Hani, and attended by the Minister for Relations with Parliament, Kaouter Krikou, as well as the Secretary of State to the Minister of Energy in charge of Mines, Karima Tafer, Mr. Arkab emphasized that the bill “is not merely a legal framework, but a new realistic vision” aimed at “restoring investor confidence to launch a new development dynamic based on our natural resources.”

According to the minister, the proposed text introduces “strategic and decisive” dimensions focused on developing national capacities in geological exploration and evaluation, effective exploitation, revenue generation, and ensuring substantial income for the state.

In this regard, he highlighted the “urgent need for intensive investment in mining exploration, using modern technologies, hence the importance of forming partnerships with experienced companies that possess the necessary technical expertise and financial resources.”

He added, “Without extensive and precise exploration, our underground wealth remains theoretical figures with no translated added value.”

The draft law aims “to attract investment and generate additional revenue with significant tax contributions within a framework of fair partnerships while maintaining constant control over resources.”

Furthermore, the Minister of State stressed that the bill places major importance on environmental considerations, as its provisions reflect “a real and principled commitment to preserving the environment and ensuring the sustainability of natural resources for future generations,” affirming that “no mineral extraction or opening of new mines can be authorized without a comprehensive environmental assessment of the project.”

The proposed text also emphasizes strengthening local content at all stages of mining activities, from exploration to exploitation.

On this point, Mr. Arkab stated that “enhancing local content is not a secondary option in this bill, but a key pillar for creating real added value and achieving technical and economic sovereignty,” principles that will be implemented “through clear, binding, measurable, and controllable mechanisms.”

In this context, the bill provides the necessary mechanisms to ensure local processing of mined products, as well as highlighting the importance of adding value to extracted natural resources by converting raw materials into higher value-added semi-finished products ready for use in various industries.

The minister recalled the international context in which this bill is being introduced, noting that the global economy is currently undergoing a “major and structural transformation,” making industry and mining among the most influential sectors, given the significant increase in mineral demand.

With the emergence of the concept of “mining security” as a pillar of national economies—on par with food and energy security—many industrialized countries are seeking to diversify their supply sources, which has intensified international competition for mining exploration and exploitation contracts, Mr. Arkab noted. He emphasized that this bill will enhance the attractiveness of investment in Algeria’s mining sector.

Following the Minister of State’s presentation, the Committee on Economic Affairs, Development, Trade, Industry, and Planning presented its preliminary report on the bill, considering the proposed text to “reflect an advanced approach with targeted incentives likely to bring about a strategic transformation in the mining sector, thereby contributing to a mining renaissance that will strengthen the national economy and enable more effective and sustainable resource exploitation.”

According to this preliminary report, the committee proposed several amendments, both formal and substantive, concerning thirty (30) articles, including the deletion of one article and changes to certain titles.

Source : APS, 17 mai 2025