The oil website Oil Price revealed on Sunday that Libya has returned to the focus of major global oil companies, as Washington seeks to transform a fragile military breakthrough into a new source of crude oil supplies.
The website noted that the National Oil Corporation (NOC) has officially signed exploration and production-sharing agreements with international companies, including Repsol, Eni, QatarEnergy, and MOL, marking the country’s first major licensing round in 17 years.
According to the website, Libya’s production has meanwhile increased to approximately 1.4 million barrels per day, the highest level in more than a decade. Officials aim to raise production to 1.6 million barrels per day by the end of this year, and eventually reach 2 million barrels per day.
The website added that following the end of the Iran crisis, Trump, from its perspective, now has more room to focus on Libya, which holds the largest proven oil reserves in Africa. Libya appears well-positioned due to its proximity to European markets and export ports already connected to Mediterranean shipping routes.
The website also highlighted that the value of Libyan crude oil has increased amid Gulf disruptions, which forced refineries to seek alternative sources. Nigeria imported Libyan crude oil for the first time in May, while Egypt resumed purchases for the first time since 2019, and Tunisia increased its imports. Meanwhile, Italy remains the leading destination, followed by Greece, Spain, and Turkey.
The website explained that everyone hopes this temporary solution will withstand the fragile political situation in Libya. According to the report, the country remains divided, with two competing governments whose mutual interests and relationships continue to benefit both sides.
