The CEO of Eni, Claudio Descalzi, and the CEO of the National Oil Corporation (NOC), Farhat Bengdara, today signed an agreement to start the development of "A&E Structures", a strategic project aimed at increasing the production of gas to supply the Libyan domestic market, as well as guaranteeing the export of volumes to Europe. The agreement was signed in the presence of the Italian Prime Minister, Giorgia Meloni, and the Prime Minister of the Government of Libyan National Unity, Abdul Hamid Al-Dbeibah.
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“Structure A&E” is the first major project to be developed in the country since the beginning of 2000. It consists of two gas fields, called “Structure A” and “Structure E” respectively, located in Contract Area D, off the coast of Libya . Gas production will begin in 2026 and reach a plateau of 750 million standard cubic feet of gas per day.
Production will be ensured through two main platforms connected to existing treatment plants at the Mellitah complex. The project also includes the construction of a carbon dioxide capture and storage (CCS) facility in Mellitah, which will allow for a significant reduction in the overall carbon footprint, in line with Eni's decarbonisation strategy. The total investment is estimated at US$8 billion, with a significant impact on the industry and its supply chain, making a significant contribution to the Libyan economy.
Eni's Chief Executive Officer, Claudio Descalzi, said: "Today's agreement will make it possible to make important investments in the energy sector in Libya, contributing to the development and job creation in the country, and strengthening Eni's position as first operator in Libya.”
Eni is the main international producer of gas in Libya, with an 80% share of national production (1,6 bscfd in 2022). The company has been operating in Libya since 1959 and currently has a large portfolio of assets in exploration, production and development. Production activities are operated through the joint venture Mellitah Oil and Gas BV (Eni 50%, NOC 50%). Equity production was 165.000 barrels of oil equivalent per day in 2022.