Chevron Business Development EMEA Ltd., a subsidiary of Chevron Corp, secured Contract Area 106 in Libya’s Sirte Basin during the 2025 Libyan Bid Round. The award gives Chevron rights to explore and develop oil and gas resources in the area, marking its first entry into Libya.
The announcement followed a Memorandum of Understanding signed with Libya’s National Oil Corporation on January 24 2026, which set the stage for a Production Sharing Agreement that will formalize the partnership. The Sirte Basin is Libya’s most prolific onshore oil region, and the award positions Chevron to tap proven reserves and potentially add new production assets.
Chevron’s strategy to grow its portfolio in North Africa and the Eastern Mediterranean is reinforced by the award. Kevin McLachlan, Vice President of Exploration, said the contract “underscores our focus on high‑quality acreage and high‑impact prospects.” Frank Mount, President of Corporate Business Development, added that the MoU and contract are milestones as the company evaluates opportunities to support Libya’s energy sector.
The 2025 bid round was the first since 2008, with only five of the 20 blocks receiving valid bids. Chevron’s win for Contract Area 106 came ahead of a consortium of TotalEnergies and ConocoPhillips that secured Block S4. Other blocks were awarded to Eni, Repsol, Turkish Petroleum, MOL, and Aiteo, underscoring the competitive nature of the round.
The award is subject to the execution of a Production Sharing Agreement with Libyan authorities. Once finalized, Chevron will begin drilling and development activities, potentially adding to its North African output and strengthening its position in a region that has been a focus of its long‑term growth plans.
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