Libya Launches First Oil and Gas Tender in 20 Years: Will American Companies Displace Russian Ones?

Tender for Oil and Gas Fields in Libya

Libya has launched its first oil and gas tender in 20 years, aiming to regain its status in the global energy market. As part of this initiative, Libyan officials have visited the United States to discuss potential ways to compensate for the oil shortage in the world market. Libya is seeking support from American companies to displace Russian ones from the market, which could have a significant impact on the energy situation in the region.

Participation of Major Oil Companies

Five major oil companies - Shell, Chevron, TotalEnergies, Eni, and Repsol - have pre-registered to participate in the tender. Notably, Exxon Mobil signed a deal to explore a gas field on the Libyan shelf in August. However, experts note that the situation in the country is complicated by General Khalifa Haftar's control over eastern regions of Libya, where part of the important oil fields is located. Haftar has visited Moscow twice for meetings with Vladimir Putin, which may indicate his intentions to strengthen ties with Russia.

The Libya National Oil Corporation is considered the only legitimate entity with the right to extract and export oil. However, as stated by Libyan expert Mahmoud Ahmed Alfisteh, Haftar's and his sons' control over part of the country with important reserves creates additional challenges.

Researcher Ibrahim Sahed also noted that the US and Western countries are trying to prevent Russia from selling its oil, which may lead to a shortage, and Libya could become an alternative for the global market. Thus, the tender launched by Libya could be an important step in restoring its role in the global energy market.

The tender for the development of oil and gas fields in Libya is strategically significant not only for the country itself but also for the global energy balance. Given the increasing oil shortage caused by sanctions against Russia, Libya is trying to leverage this situation to regain its place in the global market. However, internal political difficulties, particularly the control of General Haftar, could significantly affect the tender's outcomes and the stability of production in the country.