Libya is planning to increase its oil output to 1.6 million barrels per day next year, and 1.8 million bpd in 2027 amid redevelopment of old fields, according to the country's oil minister.
The current production of Opec member Libya is about 1.4 million bpd, Khalifa Abdulsadek told the Adipec energy conference in Abu Dhabi on Tuesday.
“We have a mission to increase output to 2 million barrels per day over the next five years,” Mr Abdulsadek said.
“Libya has a huge portfolio of brown fields. Those fields have been discovered back in late 50s, early 60s and those fields have huge remaining reserves. We are trying to redevelop those fields by employing new technologies.”
Libya has some of the cheapest, largely sweet oil in northern Africa. But much of it has remained offline since a bloody civil war erupted between rival factions after the downfall of Muammar Qaddafi in 2011.
The North African country is trying to revive its hydrocarbons sector and is inviting new companies to develop its oilfields and boost production.
“Libya's oil and gas sector is experiencing renewed interest, with 30 companies in the final stages of pre-qualification following a series of roadshows in various cities,” Mr Abdulsadek said.
“The process is expected to conclude by February 2026, with a contract signing anticipated in the second quarter of next year. This gives a strong signal that Libya is back on the stage and very much open for business.”
The country aims to develop its natural gas resources and supply to global markets, particularly through the Greenstream pipeline that runs from Western Libya to Italy, and is also exploring regional connectivity with neighbours like Egypt.
“Libya has huge reserves of gas conventional as well as unconventional of about almost 200 bcf (billion cubic feet). We do have the right connectivity to international markets and provide energy security.”
Demand for natural gas is rising globally amid green transition efforts as well as power data centres that support AI technology.
Global demand for liquefied natural gas is forecast to rise by about 60 per cent by 2040, largely driven by economic growth in Asia, emissions reductions in heavy industry and transport and the impact of artificial intelligence, according to a report by Shell in February.
More than 170 million tonnes of new LNG supply are set to be available by 2030, helping to meet stronger gas demand, especially in Asia, it added.
Libya will also hold a conference next month to have discussions between African and European energy stakeholders amid new plans to boost production, Mr Abdulsadek said.
Libya's economy is projected to rebound this year, due to an expected increase in its oil production following disruption in output last year that hit growth, the International Monetary Fund said in April.
The country's real gross domestic product grew by 2.4 per cent last year after a healthy 10.2 per cent in 2023, rebounding from a recession-riddled 2022, supported by increased oil production as well as improved security situation in the country.
