Libya’s National Oil Corporation (NOC) announced a new partnership with Italy’s ENI for the development of two new plots containing expected gas reserves of 6 tn cu/ft, and an estimated production capacity of 750 mn cu/ft of gas per day for a period of 25 years
The deal was signed by NOC’s chairman Farhat Ben Gdara and ENI chairman Claudio Descalzi, and was witnessed by Abdul Hamid Dbeibeh, the Prime Minister of the Libyan Government of National Unity, and Giorgia Meloni, Prime Minister of Italy.
Commenting on the announcement, Ben Gdara said, “Today’s agreement is a turning point for Libya’s rejuvenated oil and gas sector and a signal to the world that we are open for business.”
“Many international companies have contacted us recently expressing their desire to invest not only in exploration and production, but also in infrastructure. More onshore plots will be made available to meet this demand and support our ambitions to become one of the world’s top gas producing countries.”
Generating between US$7 and US$9bn of investment into the country’s oil and gas industry, as well as up to US$13bn in net revenues for the state, the agreement forms part of NOC’s remit to lead the country’s reemergence as a major global energy producer. In December 2022, NOC lifted the force majeure on oil and gas exploration and production and invited international oil companies to resume their operations in the country. The decision reflected improvements in the security situation in Libya, and NOC’s success in substantially increasing oil and gas production.