Libya to Auction Oil Wells After 17 Years

(3 Minutes Read)

This new bidding round marks a pivotal moment for Libya, given its long break from exploration activities. The decision will allow companies to explore new oil fields, potentially increasing the country’s production capacity.

Libya is preparing to host a bidding round for oil exploration after 17 years, said the acting Chairman of the National Oil Corporation (NOC), Masoud Suleman.

As Africa’s second-largest oil producer, Libya is a significant player in the global oil market and is also a member of the Organization of the Petroleum Exporting Countries (OPEC). Foreign investors, however, have been wary of putting money into the country, which has been in a state of chaos since the overthrow of long-time ruler Muammar Gaddafi in 2011.

Disputes between armed rival factions over oil revenues have often led to oilfield shutdowns. In August, Libya lost more than half of its oil production and exports were halted at several ports. That disruption lasted for over a month. Production gradually resumed in early October.

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This new bidding round marks a pivotal moment for Libya, given its long break from exploration activities. The decision will allow companies to explore new oil fields, potentially increasing the country’s production capacity.