ALGIERS, Algeria, May 20. Algeria has set a
clear goal to process more than half of its hydrocarbons within the
country, said Mohamed Arkab, Algeria’s Minister of Energy, Mining,
and Renewable Energy, Trend’s special correspondent reports.
Speaking during a panel discussion titled “Towards Sustainable
Economies: Diversification Strategies for Sustainable Development
in IsDB Member Countries”, held as part of the Islamic Development
Bank (IsDB) Group’s Annual Meetings in Algiers, Arkab outlined the
country’s strategy to strengthen its energy and industrial
sectors.
“Energy and mining remain the backbone of Algeria’s economy,”
Arkab said. “They account for 90% of our exports, contribute 20% to
GDP, and provide half of the government’s budget revenues.”
He explained that Algeria is implementing an ambitious economic
diversification strategy built around three core priorities:
expanding hydrocarbon processing, growing power generation and
renewable energy, and accelerating development in the mining
sector.
“Our target is to process over 50% of our hydrocarbons
domestically. We’ve already reached 30%, and we’re moving ahead
through investments in petrochemicals and modernizing our
refineries,” Arkab noted. Among key projects, he highlighted a new
5 million ton-per-year refinery currently under development in
partnership with Saudi Arabian investors.
Power infrastructure also plays a vital role in the
strategy.
“We’re extending our electricity grids to serve both industrial and
agricultural areas — it’s a foundation for sustainable growth and
an essential step in our economic transition,” he said.
The minister also underscored the mining sector’s strategic
importance, calling it a cornerstone of Algeria’s economic
transformation.
“We’re launching major projects for the extraction and processing
of mineral resources, including iron ore and lead-zinc deposits.
These initiatives will not only generate wealth but also create
much-needed jobs, particularly in regions with high unemployment,”
Arkab added.
He stressed that developing these industries is about more than
boosting economic growth — it’s also about achieving technological
self-reliance.
“Our aim isn’t just to extract resources, but to process them, add
value, master new technologies, and strengthen Algeria’s industrial
capabilities,” the minister concluded.
