Continental Focus, International Reach

Libya Needs Big Bucks for Oil Sector

Sunday, November 18, 2018

While Libyan production is coming back at a good clip, the country will need a significant amount of investment to meet the government’s goals for the sector. According to a study conducted by Wood Group on behalf of the Libyan government, the country needs more than $60 billion to put the industry back in line with pre-civil war standards. This is according to NOC’s chairman Mustafa Sanalla.

Of the $60 billion, $40 billion is needed to bring refining capacity up to one million bpd, the equivalent of the current level of oil production. The remainder to be invested over the next five years is in the development of upstream infrastructure, says Wood Group.

“For the next five years, $20 billion is needed in upstream. For downstream, we must validate the study with Wood Group,” said Mustafa Sanalla.

In addition, talks are underway with Wood Group to prepare a study on the revision of the country’s refining assets, with integrated refining projects and petrochemical plants.