Phosphate, Railway Mega-Projects Underway to Transform Nation
Algeria is undertaking two major national projects: the integrated exploitation of the Blad el Hadba phosphate deposit in Tébessa and the construction of extensive railway lines, including a crucial north-south link from Algiers to Tamanrasset. These initiatives represent colossal investments by President Abdelmadjid Tebboune, aimed at modernizing foundational infrastructure, connecting diverse regions, and fostering new non-hydrocarbon growth drivers. The overarching goal is to prepare the nation for a post-oil economy through the development of its giant mineral resources.
The Integrated Phosphate Project (PIP) at Tébessa centers on extracting and enriching phosphates from the Bled El Hadba deposit, followed by their chemical transformation alongside natural gas into phosphatic and nitrogenous fertilizers at Oued Keberit. The Sonatrach group recently awarded two strategic contracts to Chinese CHEC and Italian Saipem on August 12, targeting the commencement of exploitation and fertilizer production by 2027. These contracts cover the engineering, procurement, and construction of port facilities in Annaba for exports, and the production plants at Bled El Hadba and Oued El Kebrit. The project, which includes a 450 km Eastern railway line for transport, is strategically vital for meeting national agricultural demands and generating significant export volumes, positioning Algeria as a prominent global fertilizer producer.
Concurrently, Algeria is developing a massive railway network, including a more than 2,000 km line connecting Algiers to Tamanrasset, designed for both passenger and freight transport between the country's vast southern and northern regions. This 250 km/h high-speed train project is a cornerstone of President Tebboune's economic strategy to substantially expand the national railway grid. Preparatory work is advancing for sections like El Ménéa – In Salah (410 km) and In Salah – Tamanrasset (676 km), with land expropriation completed and construction slated to begin in September.
The National Railway Investment Agency has initiated the tender process for a 495 km segment connecting Laghouat–Ghardaïa–El Ménéa, a project valued at three billion dollars, partially financed by the African Development Bank with 1.72 billion dollars already disbursed. The comprehensive railway projects initiated by President Tebboune represent an estimated total investment of 20 billion dollars, highlighting the significant commitment to enhancing Algeria's infrastructure connectivity and economic potential.
