Libya has signed a 25-year oil development agreement with France’s TotalEnergies and U.S.-based ConocoPhillips, involving more than $20 billion in foreign-financed investment, Prime Minister Abdulhamid al-Dbeibah announced on Saturday, according to Reuters report.
The deal, signed through Waha Oil Company, is designed to increase production capacity by up to 850,000 barrels per day (bpd) and is expected to generate net revenues of more than $376 billion, Dbeibah said in a post on X.
A source at Waha said the company’s daily output typically ranges between 340,000 and 400,000 bpd under normal operating conditions.
Waha Oil Company, a subsidiary of Libya’s state-run National Oil Corporation (NOC), operates five main oil and gas fields along with several producing subfields.
These assets are connected by pipeline networks that transport crude oil to the Sidra oil terminal and gas to processing facilities.
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In addition to the Waha agreement, the Libyan government signed a memorandum of understanding with U.S. oil major Chevron and a cooperation agreement with Egypt’s oil ministry during the Libya Energy and Economy Summit held in Tripoli.
The agreements reflect “the strengthening of Libya’s relations with its largest and most influential international partners in the global energy sector,” Dbeibah said.
Separately, Masoud Suleman, acting chairman of the National Oil Corporation, said during the summit that the results of Libya’s first oil exploration bidding round in more than 17 years would be announced on February 11.
Libya is one of Africa’s largest oil producers and a member of the Organization of the Petroleum Exporting Countries (OPEC).
Foreign investors have remained cautious about committing capital to Libya, which has faced prolonged instability since the overthrow of Muammar Gaddafi in 2011.
Disputes between rival armed factions over oil revenues have frequently led to oilfield shutdowns.
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Image Credit: Asharq Al – Awsat
