Libya has entered a landmark 25-year oil agreement with France’s TotalEnergies and US-based ConocoPhillips, committing over $20 billion in foreign investment to expand the country’s energy sector, Prime Minister Abdul Hamid Dbeibah announced on Saturday.
The deal, signed at the Libya Energy and Economy Summit in Tripoli, is being executed through Waha Oil Company, a subsidiary of the state-run National Oil Corporation (NOC). According to Dbeibah, the agreement has the potential to increase Libya’s oil production capacity by up to 850,000 barrels per day and generate an estimated $376 billion in net revenues over its lifetime.
“The signing of this agreement underscores Libya’s commitment to revitalising its oil sector and attracting strategic foreign partners,” Dbeibah said, noting that the country’s oil output reached a 12-year high of 1.37 million barrels per day in 2025, reflecting a steady recovery in production following years of disruption.
In addition to the TotalEnergies-ConocoPhillips deal, Libya also signed a memorandum of understanding with US oil major Chevron and a cooperation agreement with Egypt’s oil ministry, signalling broader regional and international collaboration in energy development. Analysts say these agreements could further strengthen Libya’s position as a key oil exporter in North Africa while diversifying partnerships in a historically volatile sector.
The Prime Minister highlighted that Libya’s first oil and gas licensing round in 17 years, with results expected in February 2026, marks a significant step in attracting further investment and formalising exploration and production rights in previously untapped or underdeveloped fields.
Experts note that the $20 billion investment, coupled with improvements in production efficiency, could transform Libya’s oil sector and contribute substantially to government revenues, employment, and national economic recovery. However, long-term success will depend on political stability, security in oil-producing regions, and the ability to sustain high output levels amid fluctuating global oil prices.
The agreement with TotalEnergies and ConocoPhillips also aligns with Libya’s broader strategic goals of modernising its oil infrastructure, adopting international best practices, and leveraging foreign expertise to maximise output from existing and new fields.
Observers say that if implemented effectively, the deal could have significant regional and global implications, reinforcing Libya’s role in global energy markets while providing a blueprint for other North African nations seeking to attract foreign investment in hydrocarbons.
As the country awaits results from its licensing round, all eyes remain on Libya’s ability to balance ambitious production targets with operational and geopolitical realities. For now, the deals signal renewed confidence from international energy firms in the North African nation’s potential and a step toward long-term revitalisation of its oil-dependent economy.
