Algeria’s Revenues Boosted by At Least $10/Barrel

Oil prices reached significant gains at the close of trading on Friday evening, with crude oil rising to $72 per barrel, its highest level since July 31, 2025.

This reflects at least $10 more per barrel for Algeria compared to the benchmark price of $60 per barrel used in the 2026 budget. Observers predict this trend will continue in the coming period for several reasons.

Brent crude (North Sea Blend), the benchmark for Algerian Saharan Blend oil, ended the week at $71.76 per barrel, up 0.14% from the opening session on Friday morning—a unique price since the end of July.

In this context, energy expert Baghdad Mendouche explained to Echorouk that the rise in the price of a barrel of oil over the past two weeks is primarily due to geostrategic tensions, particularly between the United States and Iran, amid fears of an escalation of the crisis, which would have repercussions on global oil supplies.

Expert Mendouche, former CEO of a Sonatrach subsidiary, noted that commercial crude oil storage in the United States has recently declined, leading to increased demand and consequently higher prices.

The decision by the OPEC+ alliance to implement new production increases for crude oil by its member countries has contributed to the recent price surge, added Mendouche, especially since these countries represent more than 45% of global crude oil production. Furthermore, the decision to refrain from implementing further production increases is in effect until the end of March.

Mendouche expected the current situation to continue in the coming period for several objective reasons, most notably that the current price of $72 per barrel is based on futures contracts, meaning it applies to one or two months from now.

Echorouk source explained that the world is entering the spring and summer seasons, a period characterised by a significant increase in international travel and tourism, accompanied by a rise in the price of a barrel of oil. This is due to the substantial increase in demand for crude oil, especially since approximately 70% of crude oil is destined for refineries, meaning it is used to produce fuel of all types, which is then used to power various vehicles (cars, buses, planes, ships, and trains).