• Libya to award first oil, gas licenses in 18 years by early 2026

• Tender includes 20 blocks; major international firms among pre-qualified bidders

• New awards aim to boost output to 1.6M bpd, restore pre-2011 levels

Libya will announce the companies selected for new oil and gas concessions between February and March 2026, the National Oil Corporation (NOC) said on Monday. These will be the first exploration licenses awarded in 18 years.

According to international media reports citing the NOC, the tender covers around 20 blocks, both onshore and offshore. Several major international oil companies are among the pre-qualified bidders. The licensing process, launched in 2024, is nearing completion with the evaluation of technical and financial bids.

Libya holds about 48.4 billion barrels of proven crude oil reserves, the largest in Africa and nearly 3 percent of global reserves, according to the U.S. Energy Information Administration (EIA).

Years of political fragmentation and institutional instability have prevented any new exploration round for almost two decades and continue to weigh on development of the country's oil resources.

With the award of the new blocks, Libyan authorities aim to fund seismic surveys and exploration drilling. Over the medium term, these efforts are intended to attract more partners to the sector and strengthen production, which is currently around 1.4 million barrels per day.

As reported by Ecofin Agency in October 2025, the upcoming award of new licenses coincides with Libya’s recently announced goal to increase oil output to 1.6 million barrels per day by the end of 2026, returning to its pre-2011 crisis level.

Two crude oil discoveries made in early November in the Sirte and Ghadames basins by Austria’s OMV and the Arabian Gulf Oil Company (AGOCO), respectively, have improved the prospects of reaching this target. AGOCO is a subsidiary of the NOC.

Meeting these objectives will depend on the level of investment mobilized. Oil and gas remain central to Libya’s economy. These energy sources accounted for about 68 percent of GDP, 97 percent of exports and more than 90 percent of fiscal revenues in 2024, according to the African Development Bank.

Abdel-Latif Boureima