L ibya has officially reopened its vast oil sector to foreign investment, launching its first exploration and development bidding round in more than 17 years. The move signals a strategic effort by the North African nation to attract international partners and ramp up crude oil production.
Announced on March 3, the bidding round offers 22 oil blocks—equally divided between onshore and offshore territories—under a newly introduced Production Sharing Agreement (PSA) model. The PSA framework replaces the previous EPSA IV system, offering what officials describe as more competitive and investor-friendly terms.
Chairman of the National Oil Corporation (NOC), Massoud Suleman, speaking at an investor roadshow in London on Monday, emphasized Libya's commitment to reinvigorating its oil industry through robust foreign participation. “Libya is open for business,” Suleman stated, adding that international capital and expertise are essential for reaching the country’s production ambitions.
Libya, which currently pumps around 1.4 million barrels of crude per day, is seeking to raise output to 2 million bpd—an ambitious target that will require significant infrastructure upgrades and an estimated $3 to $4 billion in new investment.
Oil Minister Khalifa Abdulsadek revealed that the available blocks are located in some of the country’s most prolific hydrocarbon basins, including the Sirte, Murzuq, and Ghadamis regions, as well as offshore zones in the Mediterranean Sea.
The country's oil sector—once among the most productive in Africa—has faced more than a decade of setbacks due to civil unrest, political fragmentation, and frequent shutdowns of key facilities by armed groups. These disruptions have cost Libya billions in lost revenue and eroded investor confidence.
Now, with a stabilized government and a renewed commitment to transparency, Libyan authorities hope this new chapter will mark a turning point for the country's economic resurgence.
“We understand the skepticism,” said Abdulsadek. “But this bidding round is a clear message: Libya is back and open to long-term, strategic partnerships.”
The outcome of this high-stakes bid could determine whether Libya successfully reclaims its position as a leading oil producer on the global stage.
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