Italian, Libyan gas companies sign historic $8 billion gas deal

Italian Prime Minister Giorgia Meloni held talks in Libya on January 28 on energy and migration, resulting in the signing of a gas deal worth $8 billion, making it the largest single investment in Libya’s energy sector in more than two decades.

As reported by the Associated Press, Meloni is on a mission to travel to interested countries in search of a secure new supplier of natural gas to replace Russian energy amid Moscow’s war on Ukraine. She previously visited Algeria, Italy’s main supplier of natural gas, where she signed several memorandums.

The gas deal was signed by Claudio Descalzi, the CEO of Italy’s state-run energy company, ENI, with Libya’s National Oil Corporation on the development of two Libyan offshore gas fields in the north of the country. ENI said they would start pumping gas in 2026, and estimated to reach 750 million cubic feet per day.

She was met by Abdel Hamid Dbeibah, who heads one of Libya’s rival administrations, and held talks with Mohamed Younis Menfi, who chairs Libya’s ceremonial presidential council. In the course of their meeting, the Italian PM repeated her remarks from Algeria, saying that while Italy wants to increase its profile in the region, it doesn’t seek a “predatory” role but wants to help African nations “grow and become richer”.