Algeria Accelerates Eastern Mining Railway Construction Linking Annaba and Tebessa
Image: Ennahar
Takeaway
The accelerated construction of the Eastern Mining Railway signals Algeria's commitment to expanding its phosphate export capabilities. Investors should monitor the progress of the Integrated Phosphate Project and related infrastructure developments, as increased production and efficient transport logistics could enhance Algeria's competitiveness in the global phosphate market. Companies involved in railway construction, port operations, and phosphate processing stand to benefit from these developments.
Minister of Public Works and Basic Infrastructure, Abdelkader Djellaoui, chaired a coordination meeting on Saturday, May 9, 2026, to assess the progress of the strategic Eastern Mining Railway project, specifically the section connecting Bouchagouf and Dhriat, which spans 121 kilometers. The meeting, held at the ministry headquarters, underscored the importance of this railway as a key component of Algeria's railway sector development. The 422-km railway is designed to transport phosphate from inland mines to export facilities.
Algeria's railway network development has seen significant milestones, including the African Development Bank's €747.32 million (~$804 million) loan in December 2025 for the first phase of the 495 km Laghouat–Ghardaïa–El Menéa railway line project. This project aims to stimulate economic development in southern Algeria by expanding passenger and freight transport. In February 2026, Algeria inaugurated the 950 km Western Mining Railway, built in cooperation with China Railway Construction, connecting the Gara Djebilet iron ore mine to industrial hubs and ports in the north. The country's rail strategy aims to triple the national network to around 15,000 kilometers by 2035.
The Eastern Mining Railway is a critical part of Algeria's Integrated Phosphate Project (PPI), a $7 billion mining and industrial program. The railway will link the Bled El Hadba phosphate mine in Tebessa to processing facilities and the Port of Annaba. The Bled El Hadba project holds an estimated 840 million tonnes of exploitable reserves and targets annual production of 10.5 million tonnes of raw phosphate. The Annaba port expansion includes a new 1,600-metre mineral quay with a depth of 16 metres, expected to handle up to 10 million tonnes per year of phosphate and related products.
The completion of the Eastern Mining Railway will significantly benefit Algeria's mining sector by increasing phosphate transport capacity from 2 million tonnes per year to approximately 8 million tonnes per year. This upgrade will connect major phosphate reserves in Djebel Onk and iron ore deposits in Ouenza and Boukhadra to export infrastructure on the Mediterranean coast. Local contractors such as Cosider Travaux Publics, Cosider Ouvrages d'Art, Infrarail, Infraferr, Sero Est, Sapta and GCB have mobilized additional teams and resources, including night shifts, to maintain project timelines.
Looking ahead, the Bled El Hadba phosphate project anticipates starting operations by the end of April 2026, with exports routed through a berth at the Port of Bejaia. The Annaba port expansion is expected to be completed by the end of 2026. The first processing unit at Gara Djebilet is on track to launch by the end of April 2026, targeting a yearly output of 4 million tons, with the rail link slated to run 10 trains a day once fully operational.