KEY POINTS
- Chevron has signed an MoU with Libya’s NOC to explore new oil and gas development opportunities, marking its return to the country after more than a decade.
- The deal aligns with Libya’s push to revive its energy sector, attract foreign investment, and increase production from its vast hydrocarbon reserves.
- The partnership could unlock new onshore and offshore projects, improve efficiency, and strengthen Libya’s position in global energy markets.
Chevron Corporation and Libya’s National Oil Corporation (NOC) have signed a memorandum of understanding (MoU) to look into new oil and gas development opportunities. This is the U.S. energy giant’s strategic return to Libya’s upstream sector after being away for more than ten years.
The deal was signed during the Libya Energy & Economic Summit 2026 in Tripoli. It shows that people are becoming more confident in Libya’s efforts to bring its energy industry back to life and get foreign investment. The deal means that Chevron will once again try to break into high-potential frontier markets with big untapped hydrocarbon reserves.
Under the MoU, Chevron and NOC will assess potential areas of cooperation in upstream oil and gas exploration and development. While detailed commercial terms were not disclosed, the agreement sets the framework for technical studies, data evaluation, and possible future investment decisions.
Libya’s authorities see the partnership as part of a broader strategy to restore production capacity, modernise infrastructure, and stabilise output following years of disruption caused by political instability and conflict.
Chevron’s Strategic Return After a Decade-Long Exit
Chevron first entered Libya in 2004, focusing largely on offshore exploration. However, the company exited around 2010 after exploration results failed to meet expectations and security conditions deteriorated.
The new MoU represents a shift in Chevron’s assessment of Libya’s risk-reward profile, driven by improving security conditions in some regions and renewed government efforts to court international oil companies.
Libya holds Africa’s largest proven oil reserves, estimated at about 48 billion barrels, alongside significant natural gas resources. The country ranks among the world’s top holders of conventional hydrocarbon reserves, making it a prime destination for international energy firms seeking long-term growth.
NOC has outlined plans to substantially increase national production through new exploration, redevelopment of mature fields, and rehabilitation of ageing infrastructure.
