Total and Libya’s National Oil Corp. (NOC), with the agreement of the Government of Libya, agreed to implement Total’s participation in the Waha concessions in Libya’s Sirte basin.
The agreement calls for Total to assist NOC in accelerating the development of the concessions by providing its technologies and expertise; by developing North Gialo and NC 98 fields, which are expected to add production of 180,000 bo/d; and by supporting social responsibility programs in adjacent areas.
Total will contribute $70 million at the outset, $30 million when North Gialo comes on stream, and $30 million when NC 98 comes on stream.
Total also will carry out local economic development programs for a 4-year period at a cost of $20 million.
In March 2018, Total acquired a 16.33% working interest in the six Waha concessions by the purchase of Marathon Oil Libya Ltd. (MOLL), a wholly owned affiliate of Marathon Oil Corp. (OGJ Online, Mar. 2, 2018). The Waha concessions currently produce about 350,000 boe/d. The acquisition gives Total access to reserves and resources in excess of 500 MMboe and exploration potential across the 53,000-sq-km area covered by the concessions.
Waha Oil Co., wholly owned by NOC, serves as operator of the Waha concessions. The NOC (59.18%), Total (16.33%), ConocoPhillips (16.33%) and Hess (8.16%) are joint owners.
