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British Oil Giants Sign New Oil Deals in Libya to Boost Supply

Oil giants BP and Shell have signed new agreements with Libya’s National Oil Corporation to increase oil and gas production. This move is part of efforts by Western countries to find new energy sources and reduce dependence on Russia.

Libya, which has the largest oil reserves in Africa, is trying to revive its oil sector after years of instability. The country plans to raise oil production to 1.6 million barrels a day by 2027 and has opened 22 oil blocks for investment — the first time in 17 years. Over 40 international companies are interested, including U.S. firm ConocoPhillips.

BP will focus on oil fields in eastern Libya, while Shell is looking at developing other fields in the south and west. These deals also give the companies the right to build and protect their oil facilities with government support.

The agreements come as Western countries compete with China, which has already made similar energy and infrastructure deals in places like Iran and Iraq.

Libya needs about $3 to $4 billion in new investments to reach its oil goals. Despite past political challenges, companies like BP and Shell are now stepping in to help restart the country’s energy industry.