Libya has taken another significant step toward restoring its position as a major natural gas producer after Italian energy company Eni and the National Oil Corporation (NOC) announced the successful start of hydrocarbon production from the Sabratha Compression project. The offshore development is expected to increase annual gas production from the mature Bahr Essalam field by approximately 800 million cubic metres while reinforcing Libya’s domestic energy security and supporting natural gas exports to Europe through the Greenstream pipeline.
The project, which officially commenced production on June 29, represents one of Libya’s most important upstream energy investments in recent years and forms part of a broader $10 billion programme aimed at revitalising the country’s offshore gas industry. Beyond increasing production, the development illustrates how infrastructure upgrades and enhanced recovery technologies are extending the productive life of mature gas assets, providing both economic and energy security benefits at a time of continued uncertainty in global energy markets.
Located roughly 100 kilometres off Libya’s Mediterranean coastline, the Bahr Essalam field has long been one of the country’s most productive offshore natural gas assets. Like many mature reservoirs around the world, however, production has gradually declined as natural underground pressure has diminished over time, reducing the ability of gas to flow efficiently to the surface. To address this challenge, Eni and the National Oil Corporation installed a new 1,600-tonne gas compression unit on the Sabratha offshore platform. The facility compresses natural gas extracted from the reservoir, enabling continued production despite declining reservoir pressure. According to Eni, the new infrastructure is capable of processing up to 12.5 million cubic metres of gas each day, significantly improving operational efficiency while extending the commercial viability of the field.
“The successful start-up of the Sabratha Compression project confirms Eni and NOC’s commitment to delivering complex offshore developments on schedule, even in challenging environments,” the company said following the commencement of production.
The additional output is expected to serve two strategic markets. A portion of the increased gas production will supply Libya’s domestic electricity sector, helping address persistent power shortages that have affected households, industries and public services across the country. The remaining volumes will be exported to Italy through the Greenstream pipeline, strengthening energy cooperation between North Africa and Europe.
For Libya, the expansion comes at a critical time. Despite possessing Africa’s largest proven crude oil reserves and substantial natural gas resources, years of political instability, infrastructure damage and underinvestment have constrained the country’s energy production. Electricity shortages remain a recurring challenge, with supply disruptions affecting economic activity, industrial productivity and essential public services. Strengthening domestic gas availability is therefore expected to improve the reliability of power generation while reducing operational pressures on Libya’s electricity network. Natural gas remains the country’s primary fuel for electricity generation, making stable production essential for supporting economic recovery and industrial development.
The project also reflects Europe’s continued search for diversified natural gas supplies following major disruptions to international energy markets over the past several years. Since the outbreak of the Russia-Ukraine conflict, European countries have accelerated efforts to secure alternative gas suppliers, increasing strategic partnerships with producers across North Africa, the Eastern Mediterranean and the Middle East. In this context, the Greenstream pipeline has assumed renewed strategic importance. Stretching approximately 520 kilometres beneath the Mediterranean Sea, the pipeline connects Libya’s western coast with Sicily in southern Italy, providing a direct route for North African gas into European markets. As Italy continues to position itself as a regional energy hub, stable gas imports from Libya complement broader diversification efforts that also include increased supplies from Algeria, Azerbaijan and liquefied natural gas (LNG) imports.
According to the International Energy Agency (IEA), while Europe continues expanding renewable energy generation, natural gas is expected to remain an important component of the continent’s energy mix over the medium term, particularly in balancing intermittent renewable electricity and supporting industrial production. The Sabratha Compression project also highlights an increasingly important trend within the global energy sector: maximising production from existing assets through improved technology rather than relying solely on new discoveries. Compression technology enables operators to recover additional volumes from mature reservoirs that would otherwise become uneconomic, improving resource efficiency while delaying costly field abandonment.
Beyond Bahr Essalam, Eni and the National Oil Corporation are implementing several complementary projects aimed at expanding Libya’s gas production capacity. At the offshore Bouri field, the partners are installing equipment to recover associated gas that was previously flared because commercial utilisation infrastructure was unavailable. Capturing gas that would otherwise be burned into the atmosphere not only increases commercial production but also contributes to reducing greenhouse gas emissions, supporting broader environmental objectives within the oil and gas sector. Simultaneously, the Structures A&E project is progressing toward the development of two additional offshore gas fields. Together with the Sabratha Compression project and the Bouri gas recovery initiative, these developments represent a combined investment estimated at approximately US$10 billion, underscoring Libya’s renewed commitment to expanding its upstream gas industry.
The National Oil Corporation is also investing in domestic energy infrastructure beyond offshore production. In March, the company commenced construction of the Farigh-Brega gas pipeline, a strategic project designed to strengthen Libya’s internal gas transportation network and improve the distribution of natural gas to industrial facilities and electricity generation plants across the country. Exploration activity has also begun to recover. Earlier this year, Eni announced a significant offshore gas discovery estimated to contain more than one trillion cubic feet of natural gas. The discovery demonstrates that, despite decades of production, Libya continues to possess substantial untapped hydrocarbon resources capable of supporting future investment and export growth.
For Africa, Libya’s renewed investment in natural gas infrastructure carries implications beyond national borders. The continent is increasingly seeking to leverage its abundant gas reserves to address domestic energy poverty while simultaneously meeting growing international demand for relatively lower-carbon fossil fuels during the global energy transition. According to the African Energy Chamber, Africa accounts for a relatively small share of global greenhouse gas emissions but possesses significant natural gas resources that could support industrialisation, electricity generation and economic development while complementing the continent’s expanding renewable energy investments.
Natural gas continues to occupy a complex position within Africa’s energy transition. While fossil fuels remain subject to increasing climate scrutiny, many African governments argue that responsibly developed gas resources provide a practical bridge toward lower-carbon economies by replacing more carbon-intensive fuels, improving electricity access and supporting industrial competitiveness.
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International financial institutions, including the African Development Bank, have similarly recognised that energy transitions across Africa will likely follow different pathways from those of advanced economies, reflecting the continent’s development priorities, infrastructure gaps and rapidly growing energy demand.
The success of the Sabratha Compression project therefore illustrates how targeted investment in existing infrastructure can simultaneously improve energy security, increase export revenues, reduce operational emissions through gas recovery and strengthen regional energy cooperation. As African economies continue balancing industrial growth with climate commitments, projects that optimise existing assets while improving operational efficiency are likely to remain central to the continent’s evolving energy landscape.
