The Libya energy dossier

It was a good idea for the Government of National Unity (GNU) to give National Oil Corporation (NOC) budgets of nearly $11bn over the past two years. The potential return on this investment was huge.

But the corporation’s failure to account for or deliver on this budget with increases in oil output is a disaster.

By failing to progress projects, those responsible have done more than waste vital financial resources. Resource-rich Libya faces a future in which it will have to import even more liquid fuels for power generation in the short term and may even have to import natural gas.

Meanwhile, authority in the oil and gas sector is fraying, with a flood of internal administrative correspondence leaking from the GNU, NOC and other entities.

 Presidential Council head Mohammed Al-Menfi has demanded that NOC explains its multi-billion-dollar spending over the past two years, asking “Where’s the money gone?”

African Energy has uncovered fundamental changes to the modalities for exporting crude from Libya which will impact the management of the entire oil and gas sector for the foreseeable future.

• It has reported on a plan to award an unprecedented 40% production share in NOC’s largest undeveloped oil and gas field to international partners without a competitive tender.
• It has investigated the direct award of an oilfield redevelopment contract to a small local group with no known track record.
• It has itemised losses to the Libyan budget from fuel smuggling 
• Our reporting has followed the political conflicts within and surrounding the oil and gas sector.

This reporting is based on John Hamilton’s 17-year track record of journalism and monitoring of Libya’s energy sector.