The MoU was signed by Egypt’s Petroleum Projects and Technical Consultations Company (Petrojet) and the Libyan National Oil Corporation (NOC) on the sidelines of the Libya Energy & Economic Summit in Tripoli (24-26 January).
The memorandum aims to enhance production efficiency and cooperation on exploration and production projects. It also tackles cooperation in crude oil and natural gas refinement, development, and transportation, and mineral exploration and mining.
The summit, themed ‘Infrastructure and Investment to Enhance Energy Growth,’ brings together oil, renewables, and power sector experts and firms to discuss issues in energy transition, sustainability, and investment opportunities.
Egypt has been increasing activities related to exploration and production in oil and gas fields to boost domestic production, reduce energy imports, and bridge the gap between supply and demand to improve its position as a regional energy trading hub.
The energy sector is one of five priority sectors in Egypt’s new economic plan, which aims to raise the country’s real GDP to 7.5 percent by 2030 and create 1.5 million new jobs. The plan also aims to increase the mining sector’s contribution to the GDP to five-six percent. The annual foreign direct investment (FDI) target was also set at $24.6 billion and total exports at $145 billion by 2030, as per the narrative for economic development.
Egypt’s gas sector has faced mounting pressure in recent years, forcing the government to rely on expensive imports to meet rising demand. These pressures have also impelled the state to offer incentives and prepare the launch of a digital platform for mining investment opportunities in the first half of 2026.
The country’s petroleum imports reached $6.4 billion in the first quarter of fiscal year (FY) 2025/2026, around $1.1 billion in natural gas, and $3.42 billion in crude oil. While exports increased slightly by around eight percent to $1.3 billion, due to a $31.6 million rise in natural gas exports and a $57.8 million increase in crude oil exports.
The Libyan Prime Minister Abdulhamid Dbeibah underscored Egypt’s competitive advantage due to its gas liquefaction plants and its rank as second in Africa in oil refining capacity at around 40 million tons annually.
Libya's Fund for Development and Reconstruction signed contracts last July with Egyptian companies for critical development projects across several Libyan cities.
Additionally, Egypt recently signed MoUs to export natural gas and petroleum products to Syria. It has also been involved in reconstruction projects in other countries in the region, which have been devastated by war and instability, including Sudan.
Short link: