Libya to offer 22 oil blocks in 1st bidding round since 2007

Libya plans to offer 22 oil exploration and development blocks—equally divided between onshore and offshore areas—in its first bidding round in over 17 years, the National Oil Corporation (NOC) said on Monday.

The round, launched on March 3, aims to attract foreign investment and boost production from 1.4 million barrels per day (bpd) to 2 million bpd. The blocks include sites in the prolific Sirte, Murzuq, and Ghadamis basins, as well as offshore areas in the Mediterranean, under a new Production Sharing Agreement model offering more favourable terms for investors.

NOC Chairman Massoud Suleman, speaking at a London event, said international interest has been strong despite lingering investor caution due to political instability since 2011. Oil Minister Khalifa Abdulsadek noted Libya needs up to $4 billion to reach an output of 1.6 million bpd.

The NOC expects to finalise contracts between 22 and 30 November.

Attribution: Reuters

Subediting: M. S. Salama