Libya has contributed significantly to an oil production increase in Organisation of Petroleum Countries (OPEC).

According to a survey published by Reuters in February, oil production in Libya increased by 150,000 barrels per day on a monthly basis. OPEC as a whole pumped 26.42 million barrels per day, up 90,000 per day on January.

OPEC+ imposed two voluntary production cuts in 2023, most recently in November, to support market stability. However, as an OPEC member not bound by these restrictions, Libya was able to considerably increase its production, following the reopening of the Sharara oilfield, one of the largest in the country.

These latest results follow an announcement earlier in February by Libya’s National Oil Corporation (NOC) that it was developing a new strategic plan, which will help increase the country’s oil production capacity to two million b/d in three to five years, from about 1.2 million b/d at the moment.

Speaking at the February meeting, NOC chairman, Farhat Bengdara said that the NOC had ambitious plans to return Libya ‘to the ranks of the energy-producing countries in the world’.

“We are very encouraged by these latest developments indicating continued growth in Libya’s energy sector,” said Tarek Eltumi, founder and partner at Eltumi Partners. “As a firm, we are well placed to advise on energy and infrastructure transactions. Our expertise in the sector was boosted considerably at the end of last year, with the appointment of Ahmed Gaddah as a partner. Ahmed brings with him extensive knowledge of the energy sector, having previously been General Counsel at the NOC and European energy giant Oilinvest.”