Libya prequalifies 56 firms in license round

Libya's National Oil Co. has prequalified 35 operators and 21 investors out of the 70 firms or more that were said to have applied in its current gas licensing round.

Sept. 6, 2007

Eric Watkins
Senior Correspondent

LOS ANGELES, Sept. 6 -- Libya's state-owned National Oil Co. has prequalified 35 operators and 21 investors out of the 70 firms or more that were said to have applied in its current natural gas licensing round.

NOC launched the round on July 8 to award foreign energy companies gas exploration licenses for 41 blocks, with offers to be submitted by Aug. 22 and successful bidders to be announced on Dec. 9.

NOC expected to award about 12 natural gas exploration contracts for the 41 blocks, which cover a total area of 72,500 sq km.

Libya's gas reserves are estimated at 1.314 trillion cu m and its proven oil reserves are around 36 billion bbl, according to the Organization of Petroleum Exporting Countries.

In May, Libya signed a $900 million exploration deal with BP, under which BP will explore an area of some 54,000 sq km, primarily for gas, but also in the hope of finding oil.

Contact Eric Watkins at [email protected].