Libya's Gas Expansion
Eni and Libya's NOC Launch Sabratha Project, Significantly Increasing Gas Output and Export Capacity
Key Points
The Sabratha project is located about 100 kilometres off the Libyan coast, highlighting the offshore scale of the development.
The Bouri Gas Utilization Project is currently in commissioning, following the installation of the Bouri Gas Recovery Module, with tie-in and commissioning activities underway.
Eni has operated in Libya since 1959 and is the country’s leading international operator, with equity production around 162,000 barrels of oil equivalent per day in 2025.
Three Libyan development projects (Sabratha, Bouri, and Structures A&E) represent about $10 billion in total investments currently under execution.
Eni’s news of the Sabratha start-up prompted a market response, with Eni shares rising about 1.8% to roughly €20.57 on the day of the announcement.
Eni and Libya's National Oil Corporation have started production at the Sabratha Compression Project, a major offshore gas development about 110 kilometers off the coast of Tripoli. The start-up is expected to add roughly 800 million cubic meters of gas per year, boosting both Libyan power supplies and exports to Italy MarketScreener.
Markets reacted quickly. Eni shares climbed 1.8% to €20.57 on the day of the announcement Investing.com, as investors welcomed the company's ability to deliver a complex offshore project on schedule.
A 1,600-Ton Module Unlocks Aging Gas Reserves
The heart of the project is a new 1,600-ton compression module installed on the Sabratha platform MarketScreener. As a gas field ages, underground pressure naturally drops. Without compression, gas can no longer push itself to the surface. The new module uses compression trains to process about 440 million standard cubic feet of gas per day, keeping the Bahr Essalam field — Libya's largest — productive despite falling reservoir pressure.
The gas travels via the GreenStream pipeline from the Mellitah processing plant on the Libyan coast to Sicily in Italy. GreenStream can carry up to 8 billion cubic meters per year. The extra output from Sabratha will help Italy refill storage ahead of the 2026–2027 winter season Africa Oil Gas Report.
Eni's 67-Year Libya Presence Powers a $10 Billion Bet
Eni has operated in Libya since 1959 and is the country's top international energy company there. Its equity production in Libya ran at about 162,000 barrels of oil equivalent per day in 2025 Investing.com. The Sabratha project is operated through Mellitah Oil & Gas, a 50/50 joint venture between Eni and NOC.
Sabratha is one of three major Libyan projects currently under execution. Combined, Sabratha, the Bouri Gas Utilization Project, and the Structures A&E offshore development represent about $10 billion in total investment Africa Oil Gas Report. NOC Chairman Farhat Bengdara said the project shows "Libya remains a tier-one destination for global energy investment."
Two More Projects Close Behind Sabratha in the Pipeline
The Bouri Gas Utilization Project is now in commissioning, following installation of the Bouri Gas Recovery Module MarketScreener. It aims to capture gas that would otherwise be flared — burned off as waste — and convert it into usable fuel for power generation. Commissioning is expected to wrap up by the end of 2026.
The Structures A&E development, covering two offshore gas fields, is in full execution. Eni and NOC signed the $8 billion Structures A&E deal in January 2023, the first major Libyan energy deal since 2000. First gas from that project is expected by 2027–2028, adding up to 750 million cubic feet per day in new output Africa Oil Gas Report.
Gas Revenue Offers Libya Relief — and New Political Tensions
For ordinary Libyans, more gas means more electricity. Rolling blackouts have long plagued Tripoli. The Sabratha output provides more feedstock for domestic power plants. Eni CEO Claudio Descalzi called the start-up "a testament to our enduring partnership with Libya" and said the field would remain "a cornerstone of energy security for both the Libyan domestic market and Europe."
But the windfall comes with risks. Some analysts warn that rising offshore revenues could sharpen political rivalries between the Tripoli-based government and the eastern-based parliament, which has long argued that offshore profits do not reach the east and south of the country fairly. Italy, meanwhile, views the project as a key piece of its broader plan to shift away from Russian gas and anchor European energy ties to North Africa Africa Oil Gas Report.
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