Libya: Zallaf Libya Oil and Gas, a subsidiary of the Libyan National Petroleum Company (NOC), signs a contract with the American group Honeywell International for the construction of a 30,000 barrels per day oil refinery

Zallaf Libya Oil and Gas, a subsidiary of the Libyan National Petroleum Company (NOC), announced in a press release published on Sunday 26 March the signing of a contract with the American group Honeywell International for the construction of a refinery of oil of 30,000 barrels per day.

Located in Fezzan, a desert region in the southwest of the country which is very rich in hydrocarbons, the refinery will supply fuel to the surrounding regions, said Zallaf Libya Oil and Gas, without revealing the cost of the project.

At the end of 2021, the NOC had specified that approximately 600 million dollars are necessary for the construction of the refinery located near the Al Charara deposit.

The company also said the refinery is expected to produce butane gas, kerosene and other petroleum products, including 1.4 million liters of gasoline and 1.1 million liters of diesel per day.

The construction of the refinery is part of a broader plan to boost investment in Libya’s energy sector and boost oil production to 2 million barrels per day, nearly doubling the current level of 1.2 million barrels per day.

In December 2022, the NOC called on foreign companies active in the hydrocarbons sector to resume their exploration and production operations. In this context, an agreement was signed in early January with the Italian giant Eni for the development of offshore gas sites off the coast of Libya, for an investment of 8 billion dollars.