Libya Plans to Nearly Double Refining Capacity to 660,000 Barrels Per Day
Libya’s state-owned National Oil Corporation has announced an ambitious plan to increase the country’s crude oil refining capacity from 380,000 barrels per day to 660,000 barrels per day in a move aimed at reducing costly fuel imports and strengthening domestic capacity.
The comprehensive program includes modernizing existing refineries and building new facilities, with a flagship refinery planned for southern Libya near the al-Sharara oil field. The southern refinery is expected to produce around 300,000 barrels of crude daily into gasoline, diesel and kerosene for local use. NOC Chairman Masoud Suleiman said boosting domestic fuel production is “one of the essential pillars” for Libya’s economic development. He emphasized that the country’s refineries currently operate far below capacity due to outdated technologies and simple designs.
Actual production stands at only 180,000 barrels per day, despite a nominal capacity of 380,000 barrels per day. The shutdown of the Ras Lanuf facility since 2013 has widened the gap, forcing Libya to import heavily subsidized fuel. Imports reached more than 41 million liters per day in 2024, at a cost of roughly $9 billion.
The NOC expects the refinery upgrades to achieve self-sufficiency in cooking gas by 2033, diesel by 2034 and gasoline by 2037. The plan also aligns with broader oil sector ambitions, including increasing crude production to 1.6 million barrels per day by the end of this year. Libya’s refining expansion is seen as critical to stabilizing domestic fuel supply, capturing more value from crude oil and potentially positioning the country as a regional supplier of refined petroleum products for North Africa and the Sahel region.
Source: energycapitalpower.com
