Al Mayadeen English

  • Ar
  • Es
  • x
Al Mayadeen English

Slogan

  • News
    • Politics
    • Economy
    • Sports
    • Arts&Culture
    • Health
    • Miscellaneous
    • Technology
    • Environment
  • Articles
    • Opinion
    • Analysis
    • Blog
    • Features
  • Videos
    • NewsFeed
    • Video Features
    • Explainers
    • TV
    • Digital Series
  • Infographs
  • In Pictures
  • • LIVE
News
  • Politics
  • Economy
  • Sports
  • Arts&Culture
  • Health
  • Miscellaneous
  • Technology
  • Environment
Articles
  • Opinion
  • Analysis
  • Blog
  • Features
Videos
  • NewsFeed
  • Video Features
  • Explainers
  • TV
  • Digital Series
Infographs
In Pictures
  • Africa
  • Asia
  • Asia-Pacific
  • Europe
  • Latin America
  • MENA
  • Palestine
  • US & Canada
BREAKING
Israeli PM Office: Netanyahu has ordered that the Rafah crossing will not open until further notice.
Ambrey: Cameroon-flagged tanker issues distress call following explosion abroad, approximately 60NM south of Yemen's Ahwar.
Araghchi: Iran adopted a constructive approach in its engagement to ensure the European Union and the E3 fully honored their commitments and lifted all sanctions.
Araghchi: After a year of Iran’s full compliance with the agreement, it began implementing gradual, proportionate, and reversible compensatory steps in accordance with its recognized rights under the deal.
Araghchi: Iran demonstrated the utmost restraint in the face of repeated and fundamental violations and made extensive efforts to restore balance and preserve the agreement.
In his letter, Araghchi stated: The E3 failed to fulfill their obligations and instead imposed additional illegal sanctions on Iranian individuals and institutions.
Araghchi: These coercive measures constituted a grave violation of international law and the UN Charter, causing severe disruption in the implementation of the agreement.
Araghchi: Washington initially refrained from fulfilling its commitments, then withdrew from the agreement, reimposed its illegal and unilateral sanctions, and even expanded them.
Araghchi: UN Security Council Resolution 2231 has expired and fully ceased to be in effect as of today, in accordance with its explicit provisions.
Iranian Foreign Ministry: Reimposing sanctions on Iran is illegal

11 years on... UK gets what it was always after; Libya's oil

  • By Al Mayadeen English
  • Source: Agencies
  • 29 Nov 2022 14:51
  • 8 Shares
6 Min Read

British oil giants BP and Shell are returning to the oil-rich north African country just over a decade after the UK took part in destabilizing the nation with the 2011 military intervention.

  • x
  • An oil and gas platform off the coast of Libya. Source: Antonio Sempere via Getty.
    An oil and gas platform off the coast of Libya (Getty Images)

Libya's National Oil Corporation (NOC) agreed last month for BP to begin drilling for and producing natural gas in a major project off the north African country's coast.

The UK corporation, whose board of directors includes former MI6 chief Sir John Sawers, controls exploration areas in Libya nearly three times the size of Wales.

For a long time, British officials have sought to profit from oil in Libya, which contains 48 billion barrels of reserves – the largest oil resources in Africa, accounting for 3% of the world total.

BP is one of the few international oil and gas companies with exploration and production permits in Libya. Muammar Gaddafi nationalized its assets in Libya shortly after seizing power in a 1969 coup that called into question the entire British position in the country and region.

Following years of tensions between the two countries, Prime Minister Tony Blair met Gaddafi in 2004 and struck the so-called "Deal in the Desert," which included a $900 million exploration and production agreement between BP and Libya's NOC.

Read next: UN calls for Libya ceasefire after deadly clashes

BP re-entered the country in 2007, but its operations were halted by the 2011 NATO-backed aggression on the country, resulting in ousting Gaddafi and later killing him.

BP operations resumed after the signing of a memorandum of understanding in 2018 between the NOC and Eni, the Italian oil major, to resume exploration, with Eni as the oil field operator. BP CEO Bob Dudley hailed the agreement as an important step "toward returning to our work in Libya."

The $8 billion BP-ENI project includes two exploration areas, one onshore in the Ghadames basin and one offshore in the Sirte basin, totaling approximately 54,000 km2. The Sirte basin concession alone encompasses an area larger than Belgium.

The UK’s other oil major, Shell, is also “preparing to return as a major player” in Libya, according to its statement in a confidential document. After putting its Libyan operations on hold in 2012, the corporation is now planning to explore new oil and gas fields in several blocks.

Oil bribery

In September of last year, a third British company, Petrofac, which provides engineering services to oil operations, was awarded a $100 million contract to help develop the Erawin oil field in Libya's deep southwest.

Petrofac was at the time under investigation for bribery by the UK’s Serious Fraud Office (SFO). One of its executives, global head of sales David Lufkin, had already pleaded guilty in 2019 to 11 counts of bribery. 

Related News

Sarkozy sentenced to 5-year in prison in Libya financing trial

Libyan vessel joins global flotilla aiming to break Gaza blockade

The SFO convicted and fined Petrofac on seven counts of bribery between 2011 and 2017 in the month following the award of the Libya contract.

The company pleaded guilty to using agents to bribe officials to the tune of £32 million in order to win oil contracts in Iraq, Saudi Arabia, and the United Arab Emirates.

“A key feature of the case," the SFO noted, “was the complex and deliberately opaque methods used by these senior executives to pay agents across borders, disguising payments through sub-contractors, creating fake contracts for fictitious services and, in some cases, passing bribes through more than one agent and one country, to disguise their actions."

It works with BP in several countries around the world, including Iraq, Azerbaijan, and Oman, and in the North Sea.

Backed by UK government

All three British firms re-entering Libya have close ties to the British government. During some of the years when Petrofac paid bribes, the company was led by Ayman Asfari, who donated nearly £800,000 to the Conservative Party between 2009 and 2017.

David Cameron appointed Asfari, who is now a non-executive director of Petrofac, as one of his business ambassadors in 2014.

In May 2019, when Petrofac was under investigation by the SFO, UKEF provided £700m in project insurance for the design and operation of an oil refinery at Duqm in Oman, a project in which Petrofac was named as the sole UK exporter.

Read next: Libya’s largest oilfield resumes operations after 2 months of shutdown

Petrofac was one of five companies that sponsored the official reopening of the British Embassy in Tripoli in June of this year.

Ambassador Caroline Hurndall told the audience, “I am especially proud that British businesses are collaborating with Libyan companies and having a meaningful impact upon Libya’s economic development. Many of those businesses are represented here tonight."

BP and Shell are close to Whitehall, with a long history of personnel revolving between the corporation and former senior civil servants.

Control of oil

Despite all that has befallen the north African nation, Libya was the UK’s third largest source of oil last year, after Norway and the US, supplying 7.8% of all British oil imports. Oil provides over 90% of Libya's revenue, which makes it the country's lifeline. 

However, the country’s NATO-backed aggression has provoked a battle for control over the oil industry which has been described as being in “disarray”, with “little clarity on who really is in control of the nation’s most valuable resource."

UK ministers have long sought access to Libya's oil in the international rivalry over access to the key resource. Documents obtained by the oil-focused NGO Platform in 2009 revealed that Labour ministers and senior civil servants met with Shell at least 11 times and possibly as many as 26 times in less than four years to discuss the company's oil interests in Libya.

Read next: Libya Announces the End of Division in Oil Sector

  • Libya
  • Muammar al-Gaddafi
  • Oil
  • United Kingdom

Most Read

Iran strikes secret Israeli-US bunker under Tel Aviv high-rise

Tel Aviv high-rise struck by Iran hid Site 81, secret US-Israeli base

  • Politics
  • 14 Oct 2025
Palestinian journalist Saleh al-Jaafarawi in an undated image in Gaza, occupied Palestine (Social media)

Gaza Palestinian journalist Saleh al-Jafarawi killed by collaborators

  • Politics
  • 12 Oct 2025
drop site

New report details extensive Israeli arson in Gaza after ceasefire

  • Politics
  • 13 Oct 2025
Illustration of fists breaking shackles, representing the liberation of Palestinian detainees from Israeli prisons. (Illustrated by: AL Mayadeen English/Batoul Chamas)

4 prominent Palestinian detainees to be freed: Who are they?

  • Palestine
  • 13 Oct 2025

Coverage

All
War on Gaza

Read Next

All
Iraqi religious leader Sheikh Jawad al-Khalisi on Al Mayadeen Plus, October 18, 2025 (Screengrab)
Politics

Most powerful decision-maker in Iraq is US: Sheikh Al-Khalisi

Flags of Iran, Russia, and China (IRNA)
Politics

Iran, Russia, China confirm: Iran nuclear issue out of UNSC

Member of the Loyalty to the Resistance bloc Ali Fayyad speaks to Al Mayadeen, October 18, 2025 (Screengrab)
Politics

Hezbollah, allies will reject direct talks with 'Israel': MP Fayyad

The bodies of killed Palestinians held by "Israel" during the war are downloaded from Red Cross vehicles after their release, at the Nasser Hospital in Khan Younis, southern Gaza Strip, Oct. 15, 2025. (AP)
Politics

From rubble to graveyards, Gaza continues recovering its martyrs

Al Mayadeen English

Al Mayadeen is an Arab Independent Media Satellite Channel.

All Rights Reserved

  • x
  • Privacy Policy
  • About Us
  • Contact Us
  • Authors
Android
iOS