European energy majors Eni and BP have resumed onshore exploration in Libya, marking a significant milestone in the recovery of Libya’s oil sector after a 10-year hiatus.
Libya’s National Oil Corporation (NOC) announced that Eni, alongside BP and the Libyan Investment Authority, is conducting new exploration drilling in the Ghadames Basin, with Eni’s A1-96/3 exploration well expected to reveal oil and gas in promising geological formations.
The resumed activity reflects a wider trend among international oil companies (IOCs), with Spain’s Repsol preparing for exploration in the Murzuq Basin and Austria’s OMV set to start in the Sirte Basin soon.
READ: 342 MW solar power plant to be built in South Africa
Libya’s oil sector
The developments come alongside a 10,000 b/d production increase by Akakus Oil Operations at the Sharara field, Libya’s largest, which now produces around 284,616 b/d. The production uptick, which also follows maintenance and new drilling activities during a recent shutdown, aligns with the NOC’s goal of boosting oil output from 1.15 million b/d to 2 million b/d over five years.
Libya’s oil sector had faced severe setbacks due to political turmoil and armed conflict, notably after eastern factions halted production in response to a central bank leadership dispute. Production plummeted to 580,000 b/d in September but recovered after a resolution was reached in early October with the appointment of Naji Essa as the new central bank governor. Since then, output has surged, reaching 1,327,646 b/d of crude and condensate as of this month.
