French major Total and Libya’s National Oil Corporation (NOC) have signed an agreement to implement Total’s participation in the Waha concessions, located in the Sirte Basin in Libya
NOC said Total will assist in accelerating the development of the Waha concessions by providing its technologies and expertise; by developing the North Gialo and NC 98 fields, which are expected to add production of 180,000 boepd; and by supporting social responsibility programmes carried out by NOC in the areas adjacent to oil operations.
Total will finance contributions of US$70mn at the outset, US$30mn when North Gialo will come on stream and US$30mn when NC 98 will come on stream. Carry out by its local economic development programmes, for a global amount of US$20mn, over four years.
Patrick Pouyanné, chairman and CEO of Total, said, “Total is satisfied to sign this agreement with NOC, with the agreement of the government of Libya, which definitively endorses our entry into the Waha concessions.
“We will engage resolutely with NOC and Waha Oil Company to invest, optimise the infrastructure and develop new reserves for the benefit of all parties and notably Libya and the Libyans. The agreement, which further extends our close cooperation with NOC, is yet another milestone in our 60-year history in the country.”
The French major in 2018 acquired a 16.33 per cent working interest in the six Waha concessions by the purchase of Marathon Oil Libya Limited (MOLL), a wholly-owned affiliate of the US-based Marathon Oil Corporation. The Waha concessions currently produce about 350,000 boepd.
The acquisition gives Total access to reserves and resources above 500 mmbbl of oil equivalent and a significant exploration potential across the 53,000 sq km area covered by the concessions.
NOC owns a 59.18 per cent interest in the Waha concessions. The other partners are ConocoPhillips and Hess with 16.33 per cent and 8.16 per cent, respectively. NOC subsidiary Waha Oil Company is the operator.
