Exclusive: Al-Shalawi: Chevron’s Entry into Libya Could Open the Door to a New Wave of International Investment

Oil and economic expert Abdelmonsef Al-Shalawi told our source that the National Oil Corporation’s signing of a production-sharing agreement with U.S. energy company Chevron should not be viewed simply as an oil or contractual development.

Rather, he said, the agreement carries broader economic, investment, technical, and strategic significance for Libya, including implications for the country’s international image.

Chevron’s Entry Carries Significance Beyond the Agreement

Al-Shalawi explained that Chevron is not an ordinary player in the energy market. It is one of the world’s largest integrated energy companies, with extensive experience in exploration, production, field development, and complex projects across different regions.

Chevron’s global net production reached approximately 4.07 million barrels of oil equivalent per day in the second quarter of 2026, reflecting the company’s scale, financial strength, and technical capabilities.

Therefore, the decision by a company of this size to enter into a long-term investment in Libya carries significance beyond the direct value of the agreement itself.

Libya Needs to Revive Exploration

According to Al-Shalawi, Libya needs to reactivate exploration activity, add new reserves, and deploy modern technologies for reservoir evaluation, drilling, and field development.

The priority, he said, should not be limited to maintaining existing production.

The real value of partnerships with international companies lies in their technical expertise, financial capacity, and advanced technology.

A stronger exploration program could help Libya identify new reserves and develop resources that would otherwise remain untapped.

Foreign Investment Can Reduce the State’s Financial Burden

Al-Shalawi noted that every high-quality foreign investment entering Libya’s oil and gas sector can reduce part of the financial burden carried by the state.

It can also stimulate economic activity across oilfield services and supply chains while creating greater opportunities for national companies and Libyan professionals.

If commercially viable discoveries are made, the benefits could extend further through additional reserves, production, and new revenues for the national economy.

The Importance of Investor Confidence

Al-Shalawi emphasized another factor that he considers equally important: confidence.

Investment in the oil industry is inherently long-term, and major energy companies do not decide to enter new markets based solely on short-term developments.

Instead, they assess available resources, risks, contractual conditions, and investment opportunities.

For this reason, Chevron’s entry could be interpreted by international investment circles as a positive signal that the Libyan market is gradually returning to the attention of major energy investors.

The agreement also comes within the context of implementing the results of an oil and gas licensing round that saw international companies return to Libya’s exploration areas.

Could Chevron Encourage Other Global Investors?

Al-Shalawi pointed out that international companies closely monitor each other’s movements.

When a company of Chevron’s scale enters Libya and commits contractually to an exploration program, it could encourage other American, European, and Asian companies to reassess their investment opportunities in the country.

As a result, the greatest value of the agreement may not lie solely in the project itself, but in its potential to open the door to a broader wave of international investment and partnerships.

A Positive Signal to the International Community

The development also carries an important international dimension.

According to Al-Shalawi, it sends positive signals to the international community that, despite the challenges Libya has experienced, the country still possesses sector institutions capable of contracting with major global companies, competitive resources, and investment opportunities capable of attracting international capital and expertise.

He argued that economic and investment activity can serve as some of the most practical indicators of Libya’s gradual recovery and the restoration of confidence in the country — rather than relying on political rhetoric alone.

The Real Test Comes After the Signing

Despite the potential significance of the agreement, Al-Shalawi stressed that its success should not be measured by the signing itself.

The real test will come through what follows: implementation of work programs, actual investment spending, seismic surveys and exploratory drilling, discoveries, additional reserves, technology transfer, and training of Libyan personnel.

He also emphasized the importance of maintaining stability in the sector, honoring contractual obligations, strengthening transparency, and creating a safe and stable environment for investment.

A Potential Turning Point for Libya’s Investment Landscape

Al-Shalawi described the agreement as a gain that extends beyond the National Oil Corporation to Libya as a whole.

In his view, the agreement brings together several important developments: attracting a major global company, reviving investment and exploration, strengthening international confidence, and opening the door to additional partners.

If Libya succeeds in building on this development, the agreement could become part of a broader process that reintroduces the country to the international community not only as a country with significant oil reserves, but also as an emerging investment destination gradually regaining its position on the global energy map.