Libya’s oil and gas sector is showing signs of a sustained recovery, with the government unveiling a $20 billion investment pipeline aimed at lifting crude production to 2 million barrels per day by 2030 and positioning the country as a strategic energy supplier to Europe and North Africa.
At the Libya Energy & Economic Summit (LEES) 2026 in Tripoli on Saturday, senior government officials and international energy leaders outlined plans to expand upstream production, accelerate gas development and deepen regional cooperation after years of instability that constrained output and investment.
Libya’s oil production averaged 1.375 million barrels per day in 2025, the highest level in several years, reflecting improved operational stability and renewed engagement with international oil companies. The government expects output to rise steadily over the next five years under a programme involving 15 companies, supported by extended contract terms of up to 25 years.
“We witnessed the highest production rate in years, averaging 1.375 million barrels per day, which is a strong testimony to our recovery and stability,” said Libya’s Minister of Oil and Gas, Dr. Khalifa Abdulsadek. “We expect production to rise with a $20 billion investment programme.”
Gas Takes Centre Stage
Alongside crude oil, Libya is placing renewed emphasis on natural gas as both a domestic power solution and an export commodity. Gas production is projected to reach between 700 and 750 million standard cubic feet per day in 2026, strengthening supplies for local electricity generation while supporting exports to Europe via the Greenstream pipeline to Italy.
Libya’s proximity to European markets gives it a strategic advantage at a time when Europe continues to diversify energy supply sources amid geopolitical tensions.
“With 750 million standard cubic feet per day expected this year, Libya can support domestic power, industry and exports through the Greenstream pipeline,” said Dr. Philip Mshelbila, Secretary General of the Gas Exporting Countries Forum.
Regional Cooperation and Financing
Officials at the summit stressed that Libya’s energy rebound is closely tied to regional cooperation. The country is strengthening ties with Egypt, leveraging Egypt’s liquefied natural gas infrastructure while contributing additional gas volumes to enhance North African energy security.
The Africa Energy Bank, an initiative backed by the African Petroleum Producers Organization (APPO) and Afreximbank, and already ratified by Ghana and Nigeria, was highlighted as a key financing vehicle for capital-intensive projects such as cross-border power and pipeline infrastructure, including the proposed Libya–Algeria power interconnector.
“Cooperation on transport, joint energy projects and infrastructure development is essential for African oil and gas-producing nations,” said Farid Ghezali, Secretary General of APPO, noting that Libya–Egypt collaboration could strengthen both regional resilience and global supply chains.
Learning from Peers, Attracting Partners
Libya is also drawing lessons from other emerging energy producers. Namibia’s transparent fiscal regime and predictable royalty structure were cited as examples of policies that have helped build investor confidence, while Turkey’s expanding engagement with Libya underscores growing international interest.
“Clear regulatory frameworks and predictable fiscal terms are critical for long-term investment,” said Namibia’s Deputy Minister of Industries, Mines and Energy, Gaudentia Kröhne.
Turkey’s Energy Minister, Alparslan Bayraktar, said Ankara views cooperation with Libya as part of its broader strategy to expand oil and gas production while managing geopolitical risks through diversified partnerships.
A Continental Signal
From a wider African energy perspective, Libya’s recovery is being seen as a signal of what is possible when political stability, investment frameworks and regional cooperation align.
“Libya’s resurgence is a critical turning point for African energy,” said NJ Ayuk, Executive Chairman of the African Energy Chamber. “It demonstrates how resource potential can be converted into real projects, jobs and industrial growth.”
As Libya pushes ahead with production targets and gas expansion plans, the durability of reforms and the ability to convert announced investments into executed projects will determine whether the current momentum marks a lasting transformation or a temporary rebound.
