Libya seeks up to $40bn to develop oil resources

Libya’s state oil company says the country needs $30bn-$40bn of investment to unlock its oil and gas resources and raise output to 2mn barrels a day by 2030 from about 1.4mn b/d now. The article highlights how chronic political fragmentation, weak governance, corruption concerns and funding shortfalls continue to deter foreign investment despite Libya’s large reserves and interest from companies such as Eni, TotalEnergies, Chevron and ConocoPhillips. It also notes recent drone strikes on the Zawiya refinery, underscoring security risks. The National Oil Corporation is considering shifting from production-sharing agreements toward concession-style deals to make projects more attractive by putting more upfront costs on investors. For oil markets, the piece is broadly supportive of longer-term supply growth but bearish near-term on Libya’s ability to deliver that output quickly because instability and financing constraints remain major obstacles.