This article was featured in Jus Mundi‘s 2025 Arbitration Year in Review, an annual publication analyzing arbitration developments across 40+ jurisdictions on 6 continents. This edition brings together young practitioners and senior experts to capture the year’s most significant legislative reforms, enforcement trends, and institutional innovations.
THE AUTHORS:
Inès Sedrati, Associate, DLA Piper
Adel Al Beldjilali-Bekkaïri, International Arbitration Practitioner
The year 2025 marked a turning point for Algeria’s arbitration landscape, reflecting both legislative and regulatory innovation and active engagement in international dispute resolution. This article provides an overview of:
- Major legislative changes, including Law No. 25-12 on mining activities (1);
- Notable arbitration proceedings and enforcement actions (2); and
- The launch of DZ VYAP, a pioneering initiative for emerging arbitration practitioners (3).
Legislative and Regulatory Innovations
On 3 August 2025, Algeria enacted Law No. 25-12 governing mining activities, marking an overhaul of its mining regulatory framework. This law repeals Law No. 14-05 of 2014 and reflects the State’s broader objective of attracting foreign investment and modernising the sector. Key changes include the abolition of the “49/51” ownership rule, allowing foreign investors to hold up to 80% in mining ventures, subject to a mandatory 20% state participation (Article 101). This recalibrated shareholding requirement substantially enhances foreign investors’ managerial autonomy by removing the previous minority blocking position long held by the Algerian partner.
On 16 November 2025, the Algerian government issued Executive Decree No. 25-304, which sets out the detailed procedure for obtaining prior governmental authorisation for any transfer of shares or equity interests to a foreign investor in companies operating in “strategic sectors” (pursuant to Executive Decree No. 21-145 of 2021). Adopted pursuant to Article 52 of the 2020 Supplementary Finance Law of 4 June 2020, the Decree establishes a comprehensive screening mechanism comparable to foreign-investment review regimes in other jurisdictions. It requires that any contemplated transfer be filed by the Algerian company with the competent line ministry and be subject to a mandatory inter-ministerial review involving, inter alia, the Defence, Interior, Foreign Affairs and Finance ministries as well as the Bank of Algeria (Article 7). The administration must issue a reasoned decision within 60 days (Article 10), with rejection being compulsory where risks to public order, national security, public health, or the country’s economic interests are identified, or where the prospective acquirer is implicated in corruption or financial crime (Article 9). Overall, Decree No. 25-304 reinforces the State’s gatekeeping role in strategic industries and may indirectly shape the investment landscape relevant to future disputes and arbitration proceedings.
Notable Recent Arbitration Proceedings and Enforcement Actions Involving Algeria
Arbitration Proceedings Involving Algeria
In July 2025, the European Union commenced arbitration proceedings under the 2002 EU–Algeria Association Agreement against Algeria. The case concerns a series of trade and investment restrictions imposed by Algeria since 2021, and marks one of the few instances of treaty-based inter-State arbitration involving Algeria.
On 14 March 2025, Dirk Andres, in his capacity as insolvency administrator of German construction company Heitkamp BauHolding GmbH, filed an ICSID (International Centre for Settlement of Investment Disputes) arbitration case against Algeria. The claim, brought under the Algeria – Germany BIT (1996), arises from the alleged wrongful expropriation or mismanagement of the company’s assets by the Algerian state. Andres is seeking compensation on behalf of the company’s creditors, arguing that Algeria breached its investment treaty obligations. The case, still pending, highlights the potential for insolvency administrators to bring claims against states for the benefit of creditors in international arbitration.
In early 2025, Spain’s GVM (Grupo Villar Mir) and its former Algerian subsidiary, Fertial, have reportedly commenced arbitration before the CAM (Madrid Court of Arbitration) seeking recovery of €20 million in liabilities that Fertiberia – now owned by Triton Partners – allegedly refused to settle following GVM’s divestment in 2020. The case follows an earlier €128 million ICC (International Chamber of Commerce) award rendered in GVM’s favour in 2023 against Sonatrach subsidiary, Asmidal, concerning Fertial’s share acquisition, later settled when Asmidal completed its takeover. In the new arbitration, GVM asserts unjust enrichment claims, and a tribunal has reportedly been constituted.
Post-Arbitration Litigation and Enforcement
On 4 November 2025, the Paris Court of Appeal upheld the enforcement of an ICC award rendered in Algiers, ordering the state-owned Société des Ciments de Zahana (“SCIZ”) to pay over US$60 million to Egypt’s ASEC Cement. The court dismissed SCIZ’s arguments based on insufficient reasoning, alleged reliance on equity, and purported violations of international public policy. The dispute arose from a management contract for a cement plant near Oran. In parallel, a separate investment treaty arbitration regarding projects in Zahana and Djelfa is pending before the PCA (Permanent Court of Arbitration), with Algeria challenging jurisdiction and admissibility.
On 18 March 2025, in a US-based arbitration context, the Eleventh Circuit Court of Appeals upheld a lower court decision compelling ICC arbitration of a US$28 million claim by a consortium of insurers against General Electric. The dispute arose from a turbine failure at the Hadjret En Nouss power plant in Tipaza, near Algiers, owned by Shariket Kahraba Hadjret En Nouss (“SKH”), a joint venture involving the Algerian government, SNC-Lavalin (now AtkinsRéalis), and Mubadala. The insurers, as subrogees of SKH, were deemed third-party beneficiaries of a services contract providing for an ICC arbitration clause. The court emphasised that the arbitrators, rather than the judiciary, should determine the scope of arbitrable claims. This follows an earlier ICC award (2020) in which SKH recovered US$100 million from Sonelgaz under the plant’s electricity supply agreement, highlighting the complex interplay of contractual and treaty-based arbitration involving Algerian state entities.
Launch of DZ VYAP – Algeria Very Young Arbitration Practitioners
2025 marked a milestone for Algeria’s arbitration community with the creation of DZ VYAP (Algeria Very Young Arbitration Practitioners), the country’s first network dedicated to early-career professionals in international arbitration. As the Algerian chapter of the Global VYAP Network, DZ VYAP aims to amplify Algeria’s voice on the global arbitration stage by fostering visibility, mentorship, and skills development for lawyers, students, and academics up to six years’ experience.
Discover more insights into the latest developments in arbitration in 2025 from around the world now
ABOUT THE AUTHORS
Inès Sedrati is an associate in the international arbitration practice at DLA Piper in Paris and a member of the Paris Bar. She advises clients in both international commercial and investment arbitrations, including ICSID and ICC proceedings, with a particular focus on mining sector disputes. She is also a co-founder and co-chair of DZ VYAP (Algeria Very Young Arbitration Practitioners).
Adel Al Beldjilali-Bekkaïri is an Algerian international arbitration practitioner based in Paris, with experience in investment and commercial arbitration cases involving North African States, with a particular focus on Algeria, and specializing in the MENA region. He is a former student of the University of Algiers 1, where he obtained a degree in Islamic Finance. He also wrote a paper on Islamic Finance under the supervision of Prof. Kamalia Mehtiyeva. He holds a Master’s degree in International Arbitration (“MACI”) from Paris-Saclay University and has gained experience within leading international law firms in France and abroad.
*The views and opinions expressed by authors are theirs and do not necessarily reflect those of their organizations, employers, or Daily Jus, Jus Mundi, or Jus Connect.
