It has been reported that Libya’s vast fossil fuel potential, alongside what are described as investment-friendly reforms, has begun to attract the interest of major global energy companies, despite ongoing political risks and security challenges in the country.
According to a report from an energy consultancy, Libya’s latest licensing round includes 22 exploration blocks containing an estimated 10 billion barrels of recoverable oil, in addition to around 18 billion barrels believed to be yet undiscovered.
It was noted that the new licensing round represents a pivotal turning point for Libya’s energy sector. Improved fiscal terms, simplified cost-recovery mechanisms, and clearer profit-sharing arrangements have helped draw serious interest from oil majors and national oil companies.
It was added that sustained growth in the energy sector remains contingent on addressing political instability and infrastructure challenges, particularly as the National Oil Corporation seeks to increase production by more than 40%, with the aim of reaching two million barrels per day by 2030.
It was also noted that the ongoing political split between an internationally recognized government in western Libya and a parallel authority in the oil-rich east has at times disrupted energy flows, reinforcing investor caution over the risk of escalating conflict.
Libya
Libya is a North African country with a rich history rooted in ancient civilizations like the Phoenicians and Romans, followed by centuries of Arab and Ottoman influence. In the modern era, it was an Italian colony before gaining independence in 1951, later becoming known for Muammar Gaddafi’s lengthy rule from 1969 until the 2011 revolution. Its cultural sites include the extensive Roman ruins at Leptis Magna, a UNESCO World Heritage site.
National Oil Corporation
The National Oil Corporation (NOC) is the state-owned oil company of Libya, established in 1970 to manage the country’s hydrocarbon resources. It oversees all aspects of Libya’s oil and gas production, from exploration to export, and has been a central pillar of the national economy since its founding.
India
India is a South Asian country with one of the world’s oldest civilizations, dating back to the Indus Valley Civilization around 2500 BCE. It has a rich history marked by ancient empires, diverse kingdoms, and British colonial rule before gaining independence in 1947. Today, it is known for its vast cultural, linguistic, and religious diversity.
Repsol
Repsol is a Spanish multinational energy company founded in 1987, formed from the restructuring of the state-owned Instituto Nacional de Hidrocarburos. It is a major player in the oil and gas industry, operating across the entire value chain from exploration to retail, and has expanded its focus to include renewable energy projects.
