Libya Oil & Gas Sector Developments: Renewed Momentum, Investment and Operational Requirements
Libya’s oil and gas sector is showing renewed momentum, with fresh exploration awards, upstream investment, gas discoveries and refinery restart plans creating new opportunities for international operators, contractors and service companies. For companies planning activity in Libya, these developments also reinforce the need for reliable local support, secure logistics, risk advisory and practical operational coordination.
10/18/20254 min read
Libya Oil & Gas Sector Developments: Renewed Momentum, Investment and Operational Requirements
Libya’s oil and gas sector is showing renewed momentum, with fresh exploration awards, upstream investment, gas discoveries and refinery restart plans creating new opportunities for international operators, contractors and service companies. For companies planning activity in Libya, these developments also reinforce the need for reliable local support, secure logistics, risk advisory and practical operational coordination.
Libya’s energy sector enters a new phase of activity
Libya’s oil and gas sector remains central to the country’s economy and continues to attract international attention. After years of instability, underinvestment and operational disruption, recent developments point to a renewed effort to increase production, attract foreign investment and restore confidence in the sector.
The National Oil Corporation’s latest exploration bidding round was a major milestone. Public reporting stated that Libya offered new exploration areas after a long pause in upstream licensing activity, with the round described as the first of its kind in more than 17 years. Reuters reported that the round included onshore and offshore opportunities and was structured around production-sharing agreements designed to attract international investors.
This renewed upstream activity reflects a wider strategy to increase production capacity, develop reserves, and strengthen Libya’s position as a major North African energy producer. However, the operating environment remains complex, and companies entering or expanding in Libya require strong local knowledge, clear planning and trusted in-country coordination.
New exploration awards signal international confidence
In February 2026, Libya announced the results of its latest oil and gas exploration bidding round. The National Oil Corporation confirmed that international companies and consortia were awarded exploration opportunities, including companies such as Eni, QatarEnergy, Chevron, Repsol, Turkish Petroleum, MOL and Aiteo.
Reuters also reported that Libya awarded oil and gas exploration blocks to foreign firms including Chevron, Eni, QatarEnergy and Repsol, with acreage allocated across the onshore Sirte and Murzuq basins and the offshore Sirte basin. The round was described as Libya’s first licensing round since 2007, underlining its importance for the country’s energy sector recovery.
For international oil companies, service providers and project contractors, this creates potential new demand for mobilisation support, secure movement, logistics coordination, vendor engagement, local liaison and operating environment briefings. Exploration activity also brings an increased need for site visits, technical inspections, stakeholder meetings, field travel and project planning support.
Major investment linked to Waha Oil Company
Alongside exploration awards, Libya has also moved to support production growth through major development agreements. In January 2026, Reuters reported that Libya signed a 25-year oil development agreement involving TotalEnergies and ConocoPhillips through Waha Oil Company, with the Libyan prime minister stating the agreement involved more than $20 billion in foreign investment.
The same reporting stated that the agreement aimed to increase Libya’s oil production capacity by up to 850,000 barrels per day, while Waha Oil Company was producing between 340,000 and 400,000 barrels per day at the time.
For the wider market, this type of investment has important practical implications. Larger-scale development activity usually requires the movement of personnel, technical teams, equipment, vehicles and supplies between cities, airports, ports, offices and field locations. It also requires dependable local support to manage access, road movement, vendor coordination, security planning and contingency arrangements.
Offshore gas and export potential
Gas is another important area of renewed focus. Eni announced in February 2026 that it had been awarded offshore exploration License O1 in Libya through a consortium with QatarEnergy, following the NOC’s competitive licensing round.
In March 2026, Reuters reported that Eni had discovered more than 1 trillion cubic feet of gas offshore Libya from two discoveries in the Mediterranean Sea. These discoveries were linked to the Metlaoui formation, with testing confirming a productive reservoir.
Eni also states that its activities in Libya include both onshore and offshore natural gas production, with the Greenstream pipeline transporting gas from the Wafa and Bahr Essalam fields to Italy. Eni notes that its Structures A&E project, scheduled for launch in 2026, is intended to increase domestic supply and support the continuity of gas exports.
These developments show that Libya’s gas sector is not only important for domestic supply, but also for regional energy security and export potential. For companies supporting gas-related activity, requirements may include offshore/onshore coordination, technical visit support, route planning, logistics management, local stakeholder engagement and risk-led movement planning.
Field activity and production growth
Recent reporting also points to continued efforts to increase output from existing fields. Reuters reported in March 2026 that Libya’s Mabruk oil field was expected to increase production to up to 30,000 barrels per day.
The National Oil Corporation has previously stated that crude oil production had surpassed its 2024 target, reaching 1,405,609 barrels per day, alongside condensate production. The NOC linked future production growth to exploration, investment opportunities, private-sector participation and wider economic development.
For operators and contractors, increased field activity can create new demand for movement support, field access coordination, equipment transport, local procurement, supplier engagement, and operational risk assessment. In Libya, these tasks are rarely simple administrative functions; they often require local relationships, reliable communications, route knowledge and the ability to respond quickly when conditions change.
Downstream developments: Ras Lanuf restart plans
Libya is also seeking to strengthen downstream capacity. In May 2026, Reuters reported that the National Oil Corporation planned to restart the Ras Lanuf refinery within six to twelve months. The refinery has a reported capacity of 220,000 barrels per day and has been idle since 2013 due to a long-running arbitration dispute involving NOC and Trasta.
Reuters further reported that the dispute had been resolved through a final agreement transferring the complex and refinery to full Libyan ownership and control. NOC had allocated a maintenance budget of around $60 million, with expected initial run rates of approximately 200,000 barrels per day before a gradual ramp-up to full capacity.
If successfully restarted, Ras Lanuf would represent an important step in restoring domestic refining capacity and reducing pressure on fuel supply chains. It would also create operational requirements linked to maintenance, workforce movement, technical support, vendor coordination, transport, access control and wider site support.
Operational risks remain part of the picture
Despite positive momentum, Libya remains a complex operating environment. Reuters noted that Libya’s oil sector has faced repeated disruption from political and local unrest since 2011, while the country’s energy infrastructure has previously been affected by shutdowns, disputes and security-related disruption.
For companies working in the oil and gas sector, the key point is that opportunity and complexity exist side by side. New contracts, exploration awards and field activity may create commercial momentum, but delivery still depends on movement control, risk assessment, local liaison, supplier reliability, stakeholder engagement and contingency planning.
International companies should avoid treating Libya as a standard operating environment. Each movement, site visit, meeting, field task or logistics requirement should be planned against the specific location, timing, route, local context and stakeholder environment.