Libya has officially launched its first oil and gas exploration licensing round since the 2011 NATO-backed uprising that toppled long-time leader Muammar Gaddafi, marking a major step toward reviving the country’s battered energy sector.
According to Massoud Seliman, chairman of the state-run National Oil Corporation (NOC), 37 international energy giants — including ExxonMobil, Chevron, TotalEnergies, Eni, and Repsol — are competing for rights to explore 22 onshore and offshore blocks across Libya. Contracts with winning bidders are expected to be signed by the end of 2025.
“This is a historic step,” Seliman said in an interview with Bloomberg, noting the strong turnout from “almost all well-known international companies” despite Libya’s ongoing political instability.
The move represents Libya’s first tender since 2007 and is being seen as a critical effort to stabilize and grow an industry plagued by over a decade of disruption caused by civil conflict, militia violence, and rival administrations vying for control.
A Divided Nation, A Unified Oil Goal
Libya remains politically fractured, with competing governments based in Tripoli and Benghazi. But both sides view oil revenues as essential for national survival, and the NOC has managed to operate across the divide with relative autonomy.
The North African nation holds Africa’s largest proven oil reserves — estimated at 48 billion barrels — accounting for roughly 41% of the continent’s total, according to the U.S. Energy Information Administration (EIA).
Before the civil war, Libya was producing nearly 1.75 million barrels per day under Gaddafi. That figure plunged amid years of instability but has since recovered to about 1.4 million barrels per day. Authorities now aim to raise output to two million barrels daily by the end of the decade.
$3 Billion Budget to Fuel Expansion
Seliman revealed the NOC is awaiting government approval for a $3 billion development budget, part of which will be directed toward scaling up production to 1.6 million barrels per day within a year. Key projects include further investment in Akakus — the operator of Libya’s largest oil field, Sharara — in partnership with foreign firms including TotalEnergies, Repsol SA, OMV AG, Equinor ASA, and Libyan state-owned entities.
The Sharara field alone has the capacity to produce over 300,000 barrels per day and will be central to Libya’s short-term production goals.
International Interest Signals Confidence
The participation of major Western and European oil firms is a sign of growing investor confidence in Libya’s energy future, even amid political uncertainty and security concerns.
Industry analysts view the tender as a litmus test for Libya’s capacity to return as a top-tier oil producer, especially as global energy demand remains high and African producers seek to leverage their reserves amid shifting geopolitical dynamics.
