By: Arab News

Oman’s OQ Exploration and Production and the Libyan Investment Authority have signed a memorandum of understanding to explore joint investment opportunities in the oil and gas sector, deepening energy cooperation between the two countries.

The agreement establishes a framework for collaboration in exploration and production activities in Oman, Libya and international markets, according to the Oman News Agency. 

This comes on the back of growing energy activity, with the Middle East and North Africa oilfield services market projected to expand from $34.7 billion in 2026 to $45.7 billion by 2031 at a compound annual growth rate of 5.65 percent, according to Mordor Intelligence. 

Global gas production rose 1.2 percent in 2025, led by North America, the Middle East and Africa, according to the Gas Exporting Countries Forum. 

The MoU was signed by Ashraf Al-Mamari, chairman of OQEP’s board of directors, and Ali Mahmoud Hassan, chairman and CEO of the Libyan Investment Authority, in the presence of Abdul Hamid Al-Dbeibeh, prime minister of Libya’s Government of National Unity. 

“This memorandum establishes a strategic framework for exploring joint investment opportunities in exploration and production activities in the oil and gas sectors in both brotherly countries, as well as internationally,” ONA reported. 

The agency added that the agreement aims to enhance the growth ambitions of both parties and support the drive toward building high-quality partnerships capable of delivering long-term economic value. 

The move marks the latest step in OQEP’s strategy to expand its international footprint by strengthening its asset portfolio, increasing production and reserves, and pursuing investment opportunities in promising energy markets. It also aligns with the company’s direction to strengthen its position as an Omani energy company with a growing regional and international presence. 

The MoU comes as the global energy sector undergoes significant change and investment interest returns to key producing regions, particularly Libya, which has substantial oil and gas reserves and a strategic position in regional and global energy markets. 

This cooperation enables both sides to explore high-quality opportunities in the exploration and production sector, supporting the diversification of growth sources and enhancing competitiveness. 

The partnership is expected to support the company’s efforts to boost reserves and production, expand its investment footprint beyond Oman, and enhance long-term economic value while supporting diversification goals and returns.