Zinc and Lead Mining Project in Béjaïa, Algeria, Set to Launch Operations
Image: Algerie Eco
Takeaway
The launch of the Tala Hamza zinc and lead mine represents a significant opportunity for investors in the Algerian mining sector. With projected annual output of 170,000 tons of zinc concentrate and 30,000 tons of lead, the mine is poised to become a major player in the global zinc market. Investors should monitor the progress of the mine's construction and ramp-up to capitalize on the expected increase in zinc and lead exports from Algeria.
The zinc and lead mine project in Tala Hamza, located between the communes of Tala Hamza and Oued Amizour in the wilaya of Béjaïa, is in its final stages of preparation for launch in the coming days. A coordination meeting, chaired by the governor of Béjaïa, Kamel-Eddine Kerbouche, took place on Wednesday, March 4, 2026, to finalize these preparations, according to a statement from the Sonarem group. The project is a joint venture between Western Mediterranean Zinc (WMZ), initially owned by Terramin (65%) and Algerian state-owned entities ENOF (32.5%) and ORGM (2.5%). As of 2022, the Algerian side gained a majority stake of 51%.
The Tala Hamza mine is considered a strategic project for Algeria, located approximately 15km from Béjaïa on the Mediterranean Sea. The Algerian government views it as a national priority, symbolizing Africa's control over its natural resources. However, the project has faced a bumpy path since the mid-2000s, marked by local resistance due to environmental and agricultural concerns, disputes over profit sharing, and the Algerian state's push to regain control. In November 2024, Sinosteel Equipment & Engineering Co. Ltd, a Chinese state-owned company, signed a $336 million EPC contract to build the mine, a processing plant, roads, waste systems, and security infrastructure.
The Tala Hamza zinc project is a high-grade zinc and lead project located within the Oued Amizour permit area. As of August 2018, the mine was estimated to contain 25.9 million tonnes of probable ore reserves, grading 6.3% zinc and 1.8% lead. Indicated resources were estimated to be 44.2Mt, grading 5.54% zinc and 1.44% lead, while inferred resources were estimated to be 8.9Mt grading 4.0% zinc and 0.7% lead. The mine will employ a mechanised underhand cut-and-fill mining method to ensure safe and selective extraction of ore. The Mining Permit encompasses all the area of land required for operation of the mine including mining, processing, haul roads, ore stockpiles, tailings dams, concentrate handling and maintenance and administration.
The project is expected to yield significant socio-economic benefits, including the creation of direct and indirect jobs, enhanced vocational training opportunities, the development of the mining processing industry, and the transfer of expertise and technology. The mine is projected to produce 170,000 tons of zinc concentrate and 30,000 tons of lead annually over 19 years. The city of Béjaïa provides extensive infrastructure including an international airport and deep water port. The project has the potential to be in the top ten largest zinc mines in the world.
Production is set to begin in July 2026. The governor of Béjaïa reaffirmed "ongoing support for this strategic project". The meeting also addressed the concerns of landowners, who expressed their support for initiatives aimed at boosting development in the region. The project is fully permitted with all environmental approvals in place.