Libya has awarded new oil and gas exploration blocks to major international energy companies in its first licensing round in nearly two decades, marking a significant reopening of its upstream sector to global investors. The state-owned National Oil Corporation announced the results on February 11, describing the move as part of broader efforts to revitalize the country’s hydrocarbons industry after years of conflict and stalled investment, as reported by Reuters.
U.S. energy major Chevron secured the Sirte S4 onshore block, expanding its footprint in Libya’s most prolific oil basin. Italy’s Eni, in partnership with QatarEnergy, won Offshore Area 01 in the Sirte basin, while a consortium made up of Repsol, Hungary’s MOL and Turkey’s TPOC was awarded Offshore Area 07. Nigeria’s Aiteo Group also clinched the M1 licence in the Murzuq basin, a notable development for an African independent operator.
Only five of the 20 blocks offered were awarded, with several failing to attract qualifying bids. National Oil Corporation Chairman Massoud Suleman said the outcome would guide adjustments to licensing terms and indicated that discussions may continue over the remaining acreage, according to Reuters.
Libya currently produces about 1.4 million barrels of crude per day and holds Africa’s largest proven oil reserves. Authorities are seeking to raise output and expand gas exports to Europe by 2030, using more investor-friendly contract models to draw foreign capital and technical expertise back into the sector, Reuters reported.
