Libya: oil corporation vows “transparency” amid sector revival
Libya’s move to grant new oil exploration and production licences to international companies for the first time in 17 years, has prompted the head of the country’s National Oil Corporation to vow “transparency” for the process, according to a report by Africanews via AFP on February 12th.
The move marks a fresh push by the North African country to bring back major international companies after years of political unrest and security problems. Libya hopes to increase daily oil production by 850,000 barrels during the next 25 years.
Among the companies awarded licences are US oil giant Chevron and Nigeria’s Aiteo. Others include joint groups made up of Spain’s Repsol and British Petroleum, Repsol and Hungary’s MOLGroup, and Eni North Africa with QatarEnergy.
Masoud Suleman, head of the National Oil Corporation (NOC), said the new licences show “a return of trust and resuming institutional work in one of the country’s most important sectors after a long time of pause and challenges.” Additionally, he claimed that there will be “integrity, transparency, and equal opportunities” in the process. He also said the country aims to increase its oil-related national income.
The announcement comes at a time when many Libyans are facing fuel shortages at home. The shortages have disrupted daily life in several areas, highlighting the gap between Libya’s vast oil wealth and the challenges on the ground.
Libya currently produces about 1.5 million barrels of oil per day. It has the largest proven oil reserves in Africa, estimated at 48.4 billion barrels. However, the industry has struggled since a NATO-backed uprising in 2011 toppled longtime leader Muammar Gaddafi. Since then, the country has faced political division and repeated security challenges, which have disrupted oil production.
Along with the oil push, Libya’s government said it recently held a virtual meeting with the United States Geological Survey to strengthen the mining sector. Officials said the talks focused on technical cooperation and developing better resource mapping, as part of broader efforts to expand the country’s natural resource base.
In January, Libya signed investment agreements worth more than $20 billion with TotalEnergies and ConocoPhillips. The deals are aimed at boosting oil production over the next 25 years.
Earlier this year, the NOC invited bids for 20 oil blocks, including 11 offshore areas. However, none of the offshore blocks received offers, although five blocks were officially awarded licences. Suleman said another licensing round is planned for later in 2026.
Africanews via AFP, Maghrebi.org
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