Libya is making a major move to revitalize its energy sector. The nation has finalized a landmark 25-year oil agreement with France’s TotalEnergies and the U.S.-based ConocoPhillips.
Prime Minister Abdul Hamid Dbeibah announced the deal this Saturday during the Libya Energy and Economy Summit. He highlighted that the agreement will bring an influx of more than $20 billion in foreign investment to the country.
Boosting Capacity and Revenue
The Waha Oil Company—a subsidiary of the state-owned National Oil Corporation (NOC)—executed the agreement. This strategic partnership aims to transform Libya’s economic landscape by significantly increasing its extraction capabilities.
Key Financial and Production Projections:
- Total Investment: Over $20 billion in foreign capital.
- Production Surge: An expected capacity increase of up to 850,000 barrels per day.
- Revenue Generation: Projected net revenues exceeding $376 billion over the 25-year contract.
Prime Minister Dbeibah emphasized that this partnership strengthens Libya’s ties with its most influential international energy partners.
A Record-Breaking Year for Libyan Crude
This announcement follows a period of significant growth for the nation’s energy sector. In 2025, Libya’s oil production reached its highest point in over a decade, averaging 1.37 million barrels per day.
Bachir Brahim Bazzazi, a senior adviser for TotalEnergies’ Libyan subsidiary, explained the current strategy. He noted that the company is focusing on both “green fields” (new exploration) and “brown fields” (existing sites) simultaneously. This dual approach aims to sustain and eventually exceed current production milestones.
Expanding Strategic Alliances
The deal with TotalEnergies and ConocoPhillips is only one part of Libya’s broader energy strategy. During the summit, the government also strengthened ties with other global and regional players:
- Chevron: The government signed a new memorandum of understanding (MoU) with the U.S. energy giant.
- Egypt: Officials finalized a cooperation agreement with the Egyptian Ministry of Petroleum.
Looking Ahead: New Licensing Rounds
Furthermore, Libya is preparing to reveal the results of its first oil and natural gas licensing round in 17 years. According to the Prime Minister, the outcomes of this exploration phase are scheduled for announcement this coming February.
