Libya has officially announced its first bidding round for oil exploration in over 17 years, marking a significant move in its recovery.
Masoud Suleman, acting Chairman of the National Oil Corporation (NOC), revealed the decision in a televised address on Monday.
The country, which is Africa’s second-largest oil producer and an OPEC member, aims to revitalize its oil sector.
For years, foreign investors have been hesitant to commit to Libya due to instability and chaos following the 2011 overthrow of Muammar Gaddafi.
Rival factions often dispute oil revenues, leading to frequent shutdowns of key oilfields across the country.
In August, Libya lost more than half of its oil production, about 700,000 barrels per day, due to political deadlock.
Despite these setbacks, Libya’s oil sector remains resilient, with major oil companies like Eni, OMV, BP, and Repsol returning to exploration last year.
Italy’s Eni made headlines in 2023 by signing an $8 billion gas production deal with the NOC.
In January, Libya’s acting oil minister, Khalifa Abdulsadek, revealed the country needs $3-4 billion to reach its production target of 1.6 million barrels per day.
Libya’s current output stands at over 1.4 million barrels per day, still shy of its pre-civil war peak.
The country continues to benefit from an exemption from OPEC+ agreements, which limit oil production.
This announcement signals Libya’s determination to restore stability and attract international investment to its oil industry.
