Libya Awards First Foreign Oil Licenses in 17 Years

Libya, home to Africa’s largest proven oil reserves, has announced the award of its first oil exploration licenses to foreign companies in 17 years, marking a significant step aimed at revitalizing the country’s energy sector and restoring international confidence in Libyan institutions.

Speaking in Tripoli during the official ceremony to announce the winners of the international licensing round, National Oil Corporation Chairman Masoud Suleiman described the move as more than a technical or administrative process, calling it a clear signal of “the return of trust” in Libya’s oil institutions and their ability to reclaim the country’s role in the global energy market.

The licensing round covered 20 onshore and offshore blocks, although only five licenses were awarded at this stage. The ceremony was attended by Libya’s outgoing Prime Minister Abdel-Hamid Dbaiba, underscoring the political importance attached to the process.

Suleiman said the new licenses form part of a broader national path focused on growth, stability, and a return to normalcy through institutional work and international partnerships. He added that another licensing round is planned later this year.

Libya, which has struggled to recover from more than a decade of instability following the fall of Muammar Gaddafi in 2011, remains divided between rival administrations: a UN-recognized government in the west, and a rival authority in the east dominated by the family of Khalifa Haftar.

Despite these challenges, Libya currently produces around 1.5 million barrels of oil per day and aims to raise output to 2 million barrels per day in the coming years. The country holds an estimated 48.4 billion barrels of proven oil reserves.