Algeria: Italy’s Saipem Eyes Return to Algerian Market Under Phosphate Project
Summary:
On 23 May 2026, Algerian media outlets reported that Italian engineering group Saipem has officially returned to the Algerian market through the integrated phosphate project in Bled El Hadba, following a 16-year absence linked to past judicial proceedings and resultant prohibitions.
The company’s re-engagement is reflected in its 2025 financial documentation, dated April 2026, confirming the launch of FEED engineering works under a contract awarded by Sonatrach.
The project covers an integrated industrial complex including phosphate extraction in Bled El Hadba, processing units in Oued Keberit, and supporting infrastructure such as rail links and port upgrades in Annaba. The FEED phase defines the technical and engineering framework ahead of project execution and forms part of Algeria’s broader phosphate industrialization strategy.
Saipem’s return follows its absence from the Algerian market after corruption-related cases linked to 2008 contracts, with judicial rulings in 2023–2024 confirming its acquittal and lifting previous restrictions.
Outlook:
Saipem’s return reflects a gradual re-engagement in Algeria’s industrial projects following the resolution of past legal proceedings. The development aligns with Algeria’s efforts to expand phosphate-based industrial capacity and diversify its economic base beyond traditional reliance on oil and gas.
The ongoing engineering phase under Sonatrach indicates continued structuring of the project’s technical and logistical components. However, the integrated nature of the project suggests that its implementation will depend on coordination across mining, industrial, and transport infrastructure systems.
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