BP marks its return to Algeria with a new exploration permit.

Energy giant BP has been granted a new hydrocarbon exploration permit in Algeria's eastern basin. This return comes just over three years after the company sold its assets in the country, marking a major strategic shift for the British group.

Key points of the agreement

• Scope of action: The permit, granted by the national agency ALNAFT, authorizes BP to conduct geological and seismic studies in a high-potential area that is still under-explored.

• Current limitations: At this stage, the legal framework focuses on data acquisition; the permit does not yet authorize drilling or production .

• Regulatory framework: The agreement falls within the 2019 hydrocarbons law, which aims to attract foreign investment through simplified exploration mechanisms.

A major strategic shift

This return marks a change of course for BP. In February 2023, the company finalized the sale of its shares in the In Salah and In Amenas gas projects to Eni, which seemed to put an end to 30 years of presence in Algeria.

However, under the leadership of Meg O'Neill and through the "Reset BP" strategy launched in 2024, the company is once again prioritizing the growth of its "upstream" activities (exploration and production).

BP's strategy in figures

The return to Algeria illustrates a new allocation of the group's capital:

Indicator	Old Strategy	"BP Reset" Strategy (Current)
Annual Upstream Investment	~8 billion dollars	$10 billion
Low-carbon spending	~4 billion dollars	$0.8 to $2 billion
Top priority	Rapid transition	Energy security and profitability

By securing this permit, BP confirms its desire to refocus on high value-added oil and gas assets, prioritizing global energy security over the more aggressive decarbonization targets set previously.

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