Ethiopia, Algeria to partner in mining, energy

The governments of Ethiopia and Algeria are exploring new avenues for collaboration in the energy and mining sectors. Ethiopia’s Minister of Water and Energy, Engineer Habtamu Itefa, met with Algeria’s Minister of Energy, Mines, and Renewable Energy, Mohamed Arkab, to discuss joint opportunities in the energy industry.

Minister Habtamu emphasized Ethiopia’s strategic role in improving power connectivity across East Africa and highlighted investment prospects for Algerian energy firms in Ethiopia’s energy development initiatives. He also invited Algerian companies to participate in upcoming international tenders. In response, Minister Arkab expressed Algeria’s interest in engaging with Ethiopia’s energy sector, particularly in energy production and distribution. He further noted Algeria’s willingness to provide capacity-building support for Ethiopian energy professionals.

In addition to energy talks, Minister Arkab held discussions with Ethiopia’s Minister of Mines, Habtamu Tegegn, who also serves as Deputy Prime Minister. Their conversation focused on enhancing bilateral cooperation in the mining sector.

Mining potential

The Algerian delegation later visited Ethiopia’s Mineral Gallery, underscoring Algeria’s interest in Ethiopia’s mineral resources and mining potential. Moreover, Minister Arkab met with Ethiopia’s Minister of Trade and Regional Integration, Kassahun Gofe, to explore broader trade and investment opportunities. These discussions reflect a growing interest from Algeria to strengthen economic ties with Ethiopia, particularly in energy, mining, and trade.

Ethiopia’s mining sector, though underdeveloped, is gaining importance as a diversification from agriculture, with gold, gemstones, and industrial minerals being key commodities for export-oriented growth, though it currently contributes less than 1% to GDP.

Algeria on the other hand possesses a diverse range of mineral resources, including phosphate, iron ore, zinc, lead, and gold, with the government actively pursuing diversification through mining sector development, including attracting foreign investment and modernizing regulations.