Angola’s oil reforms offer lessons for Algeria’s upstream investment drive

Algeria could strengthen its oil and gas sector by adopting some of the regulatory reforms that helped revive Angola's upstream industry, according to the African Energy Chamber (AEC).

Algeria is currently seeking to attract new upstream investment through fresh licensing opportunities and the development of both mature oilfields and frontier acreage. While the country remains one of Africa’s leading hydrocarbon producers, the AEC said maintaining competitiveness would depend on creating a more attractive investment environment alongside expanding exploration.

According to the Chamber, Angola's experience demonstrates how regulatory certainty and institutional reform can help convert resource potential into long-term investment. In his recently released book, Crude Oil: Power, Turnaround and Transformation in Angola, AEC’s executive chairman NJ Ayuk examines how market-focused policies helped transform Angola’s upstream sector.

Angola has built an upstream investment pipeline expected to exceed $60bn between 2025 and 2030. Major developments include the Quiluma and Maboqueiro non-associated gas project, the Agogo Integrated West Hub, the Greater PAJ development and the Kaminho project by French supermajor TotalEnergies (EPA/NYSE/LSE: TTE). According to the AEC, these investments illustrate how a stable regulatory framework can support sustained project activity.

In 2019, Angola established the National Oil, Gas and Biofuels Agency (ANPG), which separated the national oil company Sonangol’s commercial activities from regulatory oversight. The move streamlined licensing, improved transparency and allowed Sonangol to focus on commercial operations while ANPG took responsibility for managing concessions. The AEC suggested Algeria could similarly benefit from greater institutional clarity and a more independent licensing system.

Furthermore, Angola introduced a multi-year licensing strategy and a permanent offer regime, which allow companies to negotiate for available acreage outside formal bid rounds. As a result, more than 70 blocks have been awarded since 2019 under the flexible system, helping to maintain exploration momentum. According to the Chamber, similar measures could broaden investor participation in Algeria’s underexplored basins and reduce delays between licensing rounds.

Angola’s fiscal incentives for mature fields and dedicated legislation for non-associated gas have also encouraged investment in existing producing assets and accelerated gas development. Comparable policies, the AEC said, could help Algeria increase production from ageing fields while unlocking additional gas resources.

“Algeria already possesses the resources, expertise and strategic position to remain one of Africa's leading energy producers,” says Ayuk. “Angola’s experience shows how regulatory evolution can complement those strengths and create even greater opportunities for long-term investment.”