Libya’s Prime Minister Abdelhamid Dbaiba has held talks with US energy major Chevron to explore expanded investment in the country’s oil and gas sector, as authorities push to revive exploration activity after years of stagnation.
The discussions, held on April 28, focused on potential cooperation in exploration, production and offshore development, following Chevron’s participation in a recent licensing round organised by the National Oil Corporation—the first such bidding process in more than 17 years.
At the centre of the talks was offshore Block NC146, where Chevron is expected to carry out a comprehensive technical study under a memorandum of understanding being reviewed by both sides.
Officials said the engagement reflects Libya’s broader strategy to attract international energy companies back into its hydrocarbons sector, which remains one of the most important sources of national revenue but has been constrained by political instability and infrastructure challenges.
Libya, a major oil-producing country in North Africa, has seen fluctuating output over the past decade due to conflict, governance fragmentation and disruptions to production facilities. Authorities are now seeking to stabilise the sector and increase foreign participation to boost output and revenue.
More Read
During the meeting, Dbaiba reaffirmed his government’s commitment to improving the investment climate for international energy firms, including efforts to streamline operations, enhance regulatory efficiency and encourage technology transfer.
The Libyan government is also aiming to modernise its energy infrastructure and increase production capacity as part of a broader economic recovery agenda, which relies heavily on oil exports for fiscal stability.
Industry analysts say renewed engagement with major international firms such as Chevron signals cautious optimism about Libya’s energy sector, though they caution that long-term investment decisions will depend on sustained political stability and security improvements.
The reopening of exploration licensing after nearly two decades is seen as a significant step in reactivating upstream development, particularly in offshore and underexplored regions.
However, challenges remain, including infrastructure degradation, regulatory uncertainty and periodic disruptions linked to internal political divisions.
Despite these risks, Libya’s vast hydrocarbon reserves continue to attract interest from global energy companies, particularly as demand for new exploration opportunities grows in a tight global energy market.
For Libya, boosting oil and gas production is seen as essential to rebuilding public finances, supporting reconstruction efforts and stabilising the broader economy.
As negotiations progress, attention will focus on whether agreements with companies like Chevron can translate into sustained investment and increased production in a sector that remains central to Libya’s economic future.
