Algeria shuffles energy officials, splits key ministries

Algeria has appointed a new minister of energy and renewables, while shifting the previous incumbent, Mohamed Arkab, into a newly-created hydrocarbons portfolio.

In a cabinet reshuffle on Sept. 14, Algeria's President Abdelmadjid Tebboune selected Mourad Adjal to run the new Ministry of Energy and Renewable Energy, according to a presidential statement.

As well as appointing Arkab minister of hydrocarbons and mines, Tebboune also appointed Sifi Ghrieb, the industry minister, as Algeria's new prime minister.

Adjal was previously the CEO of Algeria's state-run electricity and gas utility Sonelgaz.

A high-ranking ministry source told Platts, on condition of anonymity because they were not authorized to speak publicly, that Adjal would focus on power generation and renewables, while Arkab will retain responsibility for matters related to OPEC, which Algeria joined in 1969.

The source added that Arkab will be in charge of implementing the country's new hydrocarbons law, announced in 2019 to improve fiscal terms and jumpstart a new wave of investment.

Algeria holds Africa's second-largest gas reserves and is a major supplier of oil and gas to Europe, playing an important role in replacing volumes of Russian gas following the invasion of Ukraine.

One of a key group of eight OPEC+ producers currently unwinding voluntary production cuts, Algeria pumped 940,000 b/d of crude in August, according to the latest Platts OPEC+ Survey from S&P Global Energy, the highest level since December 2023.

It exported some 29.3 Bcm of natural gas into the EU by pipeline in 2024, according to data from the Energy Institute.

Nevertheless, Algeria is heavily reliant on foreign investment in its oil and gas sector, where officials are battling to reverse production declines. Crude output has dipped from a peak of 1.4 million b/d in 2008.

At the same time, its national oil company, Sonatrach, has inked a wave of deals in recent months with IOCs and fellow African countries, including Kenya, Libya and Niger.

Arkab replaced former Sonatrach CEO Abdelmadjid Attar as energy minister in February 2021 for his second stint in the job, having previously held the role for 14 months before being moved to the mining ministry.