KEY POINTS
- Libya’s National Oil Corporation is entering the final phase of its first public oil exploration bid round in over seventeen years, with bids due in February 2026.
- The process covers twenty-two blocks, split evenly across offshore and onshore areas, and aims to raise reserves and future production.
- Years of conflict and repeated shutdowns have made foreign investors wary, but authorities say the bid round is a key step toward stabilising the energy sector and strengthening the economy.
Libya’s National Oil Corporation said it is closing in on the last stage of its long-awaited public exploration bid round, marking a pivotal moment for a sector that has struggled to find stability amid years of political upheaval.
Companies preparing to enter the process are expected to submit formal offers and open bids in February 2026, according to a statement released on Thursday.
The round is the first of its kind in over seventeen years and covers twenty-two blocks across the country. The areas on offer are evenly split between offshore acreage in the Mediterranean and onshore zones extending across Libya’s central and southern basins.
Officials say the intention is to open up new pockets of supply, draw in technical partners and increase the country’s long-term output capacity.
Bid Round Aims to Rebuild a Sector Long Shaken by Conflict
Announced in early March, the bidding process is a central part of the government’s effort to lift oil production and revive an industry often derailed by domestic tensions. The NOC said the new licences will help replenish Libya’s crude and gas reserves and anchor higher production volumes over time. It added that stronger flows would give the economy a steadier footing at a moment when public finances remain under pressure.
International players have, however, been reluctant to re-engage. Libya has been mired in cycles of conflict since the fall of Muammar Gaddafi in 2011, with rival armed groups repeatedly using oil revenues as leverage. Disputes over the distribution of income have frequently led to field closures, production halts and blockades of export terminals. The repeated disruptions have made most foreign operators cautious about reinvesting capital despite Libya’s vast subsurface potential.
That tension has continued to cast a shadow over the sector. Stops and starts in output have hindered production planning, slowed field development and created uncertainty for companies weighing longer-term commitments. Even so, analysts say the renewed bid round is an attempt to signal that Libya is prepared to reintroduce competitive processes and rebuild confidence among international partners.
The NOC’s leadership has stressed that expanding reserves and shoring up the energy sector is essential to sustaining any broader economic recovery. The government hopes that increased clarity on project licensing and export flows will help open the way for new upstream exploration and, ultimately, higher national income.
