Last month, U.S.-based Hill International secured a $235 million contract to provide project management services for Structures A&E, which will develop two offshore fields in Area D. The project includes the construction of two new platforms, tie-in to the Mellitah Complex and integration of carbon capture and storage technology to reduce emissions. The development forms a centerpiece of Libya’s strategy to expand gas capacity, capture associated gas and generate greater export revenues.

Additional Gas Developments

Beyond Structures A&E, Libya is advancing several upstream gas initiatives that could reshape its production profile. Drilling has begun on the project’s wells in Block NC 141, while the Sabratha Compression project – due for completion by year-end – will sustain output from the Bahr Essalam field.

In parallel, Eni’s Bouri Gas Utilization Project (BGUP) is progressing, aimed at capturing flared gas from the Bouri field’s DP3/DP4 platforms. Scheduled to start up in 2026, BGUP is expected to improve domestic gas supply while significantly reducing carbon emissions. As part of the project, a $1 billion EPCIC contract was awarded to Saipem for the refurbishment of platforms and facilities at the Bouri gas field, with ABL Group providing marine warranty services.

These projects are complemented by new onshore activity. NOC subsidiary Zallaf Oil and Gas has started production at the Chadar field in the Sirte Basin, delivering 7.5 million cubic feet of associated gas alongside 1,500 barrels of oil per day. In the northern Ghadames Basin, the Arabian Gulf Oil Company’s D2-NC2 well has tested 5.5 million cubic feet of gas per day, underscoring the dual hydrocarbon potential of Libya’s basins.

Infrastructure and Associated Gas Utilization

Efforts are also underway to expand Libya’s gas transmission and utilization infrastructure. The NOC’s General Gas Department and AGOCO are working on plans to process associated gas from the Messla and Sarir oil fields, part of a strategy to reduce flaring and boost gas-to-power generation. In addition, Mellitah Oil & Gas is preparing a tender for an EPC contract to expand offshore production facilities, with work expected to begin in late 2025.

These developments highlight the country’s commitment to leveraging natural gas as both a domestic energy source and export commodity. They also strengthen the case for maximizing the Greenstream pipeline – Libya’s 520-km export route to Italy – which has available capacity but depends on higher upstream output.

Looking Ahead to the Summit

With billions of dollars in gas projects moving forward, Libya is positioning itself as a key player in regional energy markets while advancing its economic diversification goals. The upcoming Libya Energy & Economic Summit 2026 – taking place on January 24-26 in Tripoli – will showcase these opportunities for investment and technical collaboration. Now in its fourth edition and expanded to three days, the event will bring together global partners to engage with Libya’s rapidly evolving energy sector.

Join industry leaders at the Libya Energy & Economic Summit 2026 in Tripoli and explore investment opportunities in one of North Africa’s most dynamic energy markets. LEES 2026 offers a premier platform for partnerships, innovation and sector growth. Visit www.libyasummit.com to secure your participation. To sponsor or participate as a delegate, please contact sales@energycapitalpower.com.