NOC allocates LYD 13 billion operating budget, output to reach 1.5 million bpd by mid-2027, Chairman says

The National Oil Corporation’s (NOC) Chairman Masoud Suleiman said the unified spending plan had provided the corporation with a “lifeline” in the form of an operating budget exceeding LYD 13 billion (around $2 billion), after it received no allocations in 2025. 

He also revealed that the NOC had reached an agreement to secure a $1 billion loan from the Libyan Foreign Bank to implement projects aimed at raising production to more than 1.5 million barrels per day by mid-2027.

“The era of delayed funding, which caused problems and concern for us and our partners, is now behind us,” Suleiman said in an interview with Bloomberg published Friday. “With the funding flowing, the NOC has been able to maintain production at around 1.4 million barrels per day.”

Suleiman told Bloomberg that the NOC needs $36 billion to develop the sector and reach its target of producing 2 million barrels per day by early 2031. Of that amount, the corporation is seeking $16 billion in financing from foreign partners, while committing to invest $20 billion itself.

In this context, Suleiman revealed that the NOC had reached an agreement for a $1 billion loan from the Libyan Foreign Bank, which would enable it to carry out projects aimed at increasing production to more than 1.5 million barrels per day by mid-2027. He added that there was a commitment to provide another $1 billion once that target is achieved.

Suleiman also told Bloomberg that the corporation is still dealing with around LYD 25 billion in rescheduled debt from 2024 and 2025, while requiring approximately $300 million per month to cover day-to-day operating expenses.

He noted that there are plans to restart shut-in wells at fields operated by several companies, including the Arabian Gulf Oil Company (AGOCO), Waha Oil Company, Sirte Oil Company for Production and Manufacturing of Oil and Gas, and Akakus Oil Operations. He expected Akakus production to reach 350,000 barrels per day before the end of the year.

Suleiman also announced that the NOC would launch a bidding round within three months to develop the North Jalo field, targeting production of 100,000 barrels per day. The winning bidder will be responsible for financing the $5 billion project.