KEY POINTS
- Eni and BP resume onshore oil exploration in Libya.
- NOC views the partnership as vital for economic growth.
- Ghadames Basin drilling marks the first in nearly a decade.
Libya’s National Oil Corporation (NOC) said Saturday that Italian energy company Eni and British oil tycoon BP had begun exploring in Libya, the first major comeback to onshore drilling since 2014.
Eni and BP restart exploration in Libya’s Ghadames
Despite earlier security concerns that halted activities, this initiative signifies a renewed determination by multinational energy companies to explore Libya’s significant oil deposits.
NOC verified in a statement that Eni started drilling on Saturday in the Ghadames Basin, an oil-rich region close to Libya’s western border. Eni and BP intend to concentrate on exploration efforts in this region as well as other attractive locations, according to NOC. This comes after years of political unrest and security concerns disrupted Libya’s oil industry, forcing several foreign companies to halt operations.
Farhat Bengdara, the chairman of the NOC, was upbeat about the collaboration with Eni and BP and emphasised the value of foreign investment for Libya’s oil and gas industry. According to Bengdara, stabilising production levels is essential to bolstering Libya’s economy, which mostly relies on oil earnings. He went on to say that NOC is still dedicated to establishing a stable business climate to draw in more foreign investment.
With a lengthy history in Libya, Eni has a sizable portfolio of exploration and production assets spread throughout the nation. As part of its larger plan to increase its presence in North Africa, BP has partnered with NOC and Eni. It is anticipated that the businesses’ redoubled exploration operations will boost economic expansion, produce jobs locally, and bring in more money for the Libyan government.
Libya’s oil sector sees renewed international investment
Resuming operations in the Ghadames Basin shows that the international oil industry believes Libya has room to grow. Libya is still one of Africa’s top oil producers in spite of recent difficulties, and greater international cooperation may aid in stabilising and growing its oil industry.
According to Reuters, the NOC has reaffirmed its dedication to environmental preservation and safety, declaring that all exploration operations will follow global guidelines. To ensure sustainable production levels as they grow their operations, Eni and BP will be closely collaborating with NOC to evaluate further prospects in Libya’s oil and gas resources.
