Masoud Suleman, chairman of Libya’s National Oil Corporation (NOC), said the North African country had significant untapped resources and more than 60 discovered oil and gas fields that had yet to be developed. Libya currently produces about 1.4 million bpd and holds Africa’s largest proven crude reserves, estimated at about 48 billion barrels.

The investment drive comes after years of political instability, conflict, export blockades and underinvestment following the 2011 overthrow of Muammar Gaddafi. Libya remains divided between rival authorities in the east and west, while armed groups continue to influence parts of the country. Many of its major oilfields and export terminals are located in areas controlled by eastern military commander Khalifa Haftar.

Security risks remain a major obstacle. A recent drone attack on the Zawiya refinery damaged fuel storage facilities and disrupted operations, while an attack on a nearby power substation caused outages. US company GE suspended work at a nearby power plant and withdrew technical teams because of security concerns.

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TotalEnergies prioritised paying down debt, cutting gearing to 13%, and lifted its dividend by 5.9%. Among the shale producers, only Diamondback has explicitly tied higher prices to higher activity. Boards that lived through the busts of 2015 and 2020 are treating this as a cash event rather than a growth signal, which is a fairly clear statement about how long they expect it to last.

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The 800km pipeline, largely out of service since the 2003 US-led invasion of Iraq, has emerged as a strategic priority after the Iran conflict exposed the vulnerability of the Gulf’s main energy corridor.

Temporary disruptions in Hormuz sent oil prices soaring and renewed concerns over the security of one of the world’s busiest shipping lanes, through which roughly a fifth of global oil supplies pass.

US Special Envoy Tom Barrack has held discussions with Iraqi and Syrian officials, as well as energy companies including Chevron, on rebuilding the pipeline, which would carry crude from Iraq’s Kirkuk fields to the Syrian port of Baniyas. The project forms part of a broader US strategy to strengthen regional energy security while expanding opportunities for American companies.

The renewed interest coincides with closer ties between Washington, Baghdad, and Syria’s new leadership. During Iraqi Prime Minister Ali Al Zaidi’s visit to the White House, President Donald Trump said new energy agreements involving US companies would be announced in the coming weeks.

For Iraq, OPEC’s second-largest producer, new export routes have become increasingly important. The country remains heavily dependent on southern Gulf terminals and the pipeline to Turkey’s Ceyhan port, while years of conflict and aging infrastructure have limited diversification. Baghdad has also appointed Houston-based engineering firm KBR to advise on a proposed pipeline linking Basra to Haditha, with potential branches to Syria, Turkey, and Jordan.

The revival of the Kirkuk-Baniyas route could also enhance Syria’s role as a regional energy hub. The Baniyas terminal offers direct access to Mediterranean markets, attracting interest from international companies, including Chevron and TotalEnergies, as Western sanctions on Syria continue to ease.

However, significant obstacles remain. Much of the pipeline would require reconstruction after decades of neglect, potentially costing billions of dollars. Proposed routes also pass through areas where Islamic State cells remain active, raising security concerns for investors. Analysts also warn that Iran-backed militias could oppose the project, viewing it as an attempt to weaken Tehran’s regional influence.

Despite those risks, industry experts believe alternative export corridors will become increasingly valuable as geopolitical tensions reshape global energy supply chains and buyers seek more resilient routes to market.

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The investment, announced at the 25th NOG Energy Week Conference and Exhibition on 8 July, marks ExxonMobil’s return to drilling operations in Nigeria after nearly a decade, with its last drilling campaign in the country conducted in 2016. Oritsemeyiwa Eyesan, chief executive of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), described the announcement as a significant development for the country’s upstream oil sector, noting that Esso Exploration and Production Nigeria, an ExxonMobil affiliate, had not drilled in Nigeria since that campaign.

The project falls within Oil Mining Lease 138 and involves on-block operations at the Usan field, which Esso Exploration and Production Nigeria operates under a production sharing contract alongside the Nigerian National Petroleum Company, with Chevron, TotalEnergies, and Nexen, a subsidiary of the China National Offshore Oil Corporation, as co-venture partners.

The Usan field was discovered in 2002 and developed in water depths of 2,400 feet using a floating production, storage, and offloading vessel and 42 subsea wells, comprising 23 production wells and 19 water and gas injection wells connected to a two-million-barrel-capacity FPSO. First oil was produced in February 2012, when the field had a gross production capacity of up to 180,000 barrels per day.

The investment comes as Nigeria, one of Africa’s largest crude producers and an OPEC member, seeks to reverse years of declining output through regulatory reform and renewed investment. The African country has faced persistent challenges, including oil theft, pipeline vandalism, and underinvestment, prompting the government to accelerate project approvals and encourage fresh capital inflows into the sector.

In a separate development, the NUPRC issued petroleum prospecting licenses to successful applicants from the 2022/2023 Mini Bid Round and the 2024 Nigeria Licensing Round. A total of 12 companies received 19 licenses covering deep offshore, shallow water, and continental shelf areas, with Broron Energy, Petroli Energy Marketing and Supply, Sahara Deepwater Resources, and Tulcan Energy among those receiving awards, underscoring the breadth of opportunities on offer in Nigeria’s licensing rounds.

Apart from its big-ticket investment in Nigeria, Exxon, in partnership with QatarEnergy, has entered Cyprus as well through a deal signed with the Mediterranean country’s government. Prospects of two offshore gas fields have been declared marketable, a milestone in efforts by the ‌East Mediterranean island to develop its energy reserves.

The “Declaration of Marketability” signed in Nicosia has advanced a project central to the region’s ambitions to supply more gas to Europe.

ExxonMobil has reported discoveries in two offshore blocks in fields known as Glaucus and ⁠Pegasus. As per the company and the Cypriot officials, the combined discoveries could be between eight and nine trillion cubic feet.

The “Declaration of Marketability,” according to the Cyprus President Nikos Christodoulides, “represents a major step towards establishing the Eastern Mediterranean as a credible alternative energy corridor for Europe.”

“Some additional drilling on the two offshore fields would be required before moving into the front-end engineering and ‌design (FEED),” the administration added further.

“A final investment decision is anticipated around 2029 and production in 2033,” remarked ExxonMobil Vice President and head of global expansion John Ardill.

QatarEnergy signed a preliminary deal with ExxonMobil and Egypt’s government in May 2026 to study ⁠the development and commercialization of gas discoveries in Cyprus using Egypt’s existing gas and LNG infrastructure.

“The reserves from Pegasus and Glaucus would probably be ⁠delivered with a pipeline tie-back to Egypt,” Ardill concluded.

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According to Eneos, the deal, which includes Chevron’s assets in Vietnam, Australia, the Philippines and Malaysia, is expected to close in 2027. It’s a win-win deal for both energy players, as Chevron has been eyeing divestment of its refining and storage assets in Asia to streamline operations and reduce costs.

“This investment represents a significant step in strengthening the business platform that connects Japan with Southeast Asia and Oceania, while bringing together the competitive strengths developed across each market to advance our group’s growth to the next stage,” said Eneos Holdings CEO Miyata Tomohide.

Eneos operates nine refining complexes in Japan, including a joint venture with PetroChina. SRC, on the other hand, runs a 290,000-barrel-per-day refinery in Singapore, with the other half of the company being held by PetroChina through its subsidiary, Singapore Petroleum Co.

“The agreement reflects Chevron’s disciplined approach to managing its international portfolio,” said Andy Walz, president of Chevron’s downstream, midstream and chemicals.

The SRC stake sale is the second major divestment deal in Singapore after Shell sold ‌its Bukom refining and petrochemical complex in 2024. Apart from the SRC stake sale, Chevron previously sold off its Hong Kong retail stations to Thai refiner Bangchak Corp for USD 270 million.

The SRC sale includes Chevron’s Penjuru terminal and lubricants facility in Singapore, which has a storage capacity of around 400,000 cubic metres, roughly equivalent to 2.5 million barrels of oil.

For Eneos, taking over a fuel terminal in one of the world’s largest oil storage and blending hubs will expand the Japanese conglomerate’s trading capabilities, especially in refined fuel, analysts said.

“It will be an important strategic move for Eneos to grow downstream given its domestic market in Japan is saturated and expected to decline. It is not just the refinery; things that come along will be the deal sweetener,” said Sushant Gupta, Wood Mackenzie’s Asia Pacific refining and oils research director, while interacting with Reuters.

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According to trade intelligence platform Kpler, since the Iran war began, more than 500 million barrels of crude and condensate have been knocked out of the global ⁠market, in what seems to be the largest energy supply disruption of modern history. Talking about the immediate impact, Iain Mowat, principal analyst at Wood Mackenzie, told Reuters that the lost fuel may end up curtailing the aviation industry’s energy demand for 10 weeks.

In the Middle East, countries lost about eight million barrels per day of crude production in March, nearly equivalent to the combined production of Exxon Mobil and Chevron, two of the biggest ‌oil companies ⁠in the world. As per Kpler, jet fuel exports from Saudi Arabia, Qatar, the United Arab Emirates (UAE), Kuwait, Bahrain and Oman fell from about 19.6 million barrels in February, to just 4.1 million barrels for March and April so far combined.

“With crude prices averaging around USD 100 a barrel since the conflict began, those missing volumes represent roughly USD 50 billion ⁠in lost revenues,” said Johannes Rauball, a senior crude analyst at Kpler.

The ratio equates to a 1% cut in Germany’s annual GDP, or roughly the entire GDP of smaller European countries such as Latvia or Estonia.

Kpler even stated that the resumption of energy trade through the Strait of Hormuz would mean little for the global economy, as recovery of ⁠output and flows will remain slow. While global onshore crude inventories have fallen by about 45 million barrels so far in April, production outages, since late March, have reached roughly 12 million bpd.

“Heavier crude fields in Kuwait and Iraq could take four to five months to return ⁠to normal operating levels, extending stock draws through the summer. Damage to refining capacity and Qatar’s Ras Laffan LNG complex means full restoration of regional energy infrastructure could take years,” Rauball concluded.

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The conflict between US-Israel and Iran, which began on February 28, has sent oil prices skyrocketing as much as 65%, with some energy production fields in the Middle East shutting down their activities after the Strait of Hormuz, that sees the passage of the 20%–25% of the world’s total seaborne oil and over 20% of liquefied natural gas (LNG) shipments, has been effectively closed, with Tehran using the marine chokepoint as a geopolitical leverage. Chevron’s upstream fourth-quarter 2025 earnings were USD 3.04 billion.

“Timing effects ⁠tied to hedging and accounting would weigh on first‑quarter results, cutting earnings and operating cash flow excluding working capital by USD 2.7 billion ⁠to USD 3.7 billion after tax, mainly downstream, though the impact is expected to reverse over time,” Exxon noted.

According to the LSEG (London Stock Exchange Group) data, Benchmark Brent crude prices averaged USD 78.38 per barrel during the first quarter, up 24% from the previous three months.

As per Chevron’s latest estimates, net oil-equivalent production is expected to average 3.8 million to 3.9 million barrels per day, with volumes affected by downtime at Kazakhstan’s Tengizchevroil project and reduced output in parts of the Middle East.

Chevron’s rival, Exxon Mobil, too, is expecting a mixed bag from the Middle East crisis. While earnings in its upstream business could get a lift of about USD 1.4 billion compared with the Q4 2025, driven by higher oil prices, overall earnings could decline as a multi‑billion‑dollar hit ⁠related to financial hedging was expected, due to the Iran war.

Exxon estimates that disruptions to its UAE and Qatar assets will lower its global oil-equivalent production by 6% in the first quarter compared to Q4 2025, but higher commodity prices may provide a profit lift between USD 2.1 billion and USD 2.9 billion compared to the previous quarter. Iran’s missile attacks in Qatar impacted two LNG trains, which represented roughly 3% of Exxon’s 2025 upstream production.

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On his first day in office (January 20, 2025), President Trump declared an energy emergency, stating, “The integrity and expansion of our Nation’s energy infrastructure is an immediate and pressing priority for the protection of the United States’ national and economic security.”

In January 2025, Trump also signed several executive orders, including one on energy that includes a wide range of provisions aiming to “unleash America’s affordable and reliable energy and natural resources,” thereby ending the Joe Biden administration’s pause on the approval of new LNG exports.

It also commenced processes to ease regulations on oil and gas production. Trump also signed an order to lift restrictions on oil, gas, and mineral production in Alaska and announced plans to establish an inter-agency working group to determine and implement measures to expedite oil and gas development.

Unleashing American energy

The executive order focuses on the “national interest to unleash” America’s affordable and reliable energy and natural resources,” which will in turn, rebuild America’s economic and military security.

The Trump administration has “clear policy goals” for the United States to meet the energy needs of Americans, by exploring federal lands and water, including the Outer Continental Shelf, for energy exploration and production to solidify the United States as a global energy leader. The government will also use the energy sector reforms as a means to create jobs, apart from ensuring prosperity and strengthening supply chains in the United States by establishing the world’s largest economy as the leading producer and processor of non-fuel minerals including rare Earth minerals.

The executive order also speaks on arming the “American Energy Security” to an extent, where across the states, an abundant supply will be readily made accessible to protect the Trump administration’s economic, national and military needs. However, the order also eliminates the Biden government’s electric vehicle mandate to promote “true consumer choice for essential economic growth and innovation, remove the regulatory barriers to motor vehicle access, and terminate state emission waivers that function to limit sales of gasoline-powered automobiles.”

Energy efficiency regulations will be rolled back, involving lightbulbs, dishwashers, washing machines, gas stoves, water heaters, toilets and shower heads to safeguard Americans’ freedom to choose from a variety of goods and appliances and promote market competition.

“The Trump administration will ensure that all regulatory requirements for energy are grounded in clearly applicable law. The global effects of a rule, regulation or action will be reported separate from its domestic costs and benefits to promote sound regulatory decisions and prioritise the interests of Americans,” states the order further, while mandating all agency heads to review existing regulations to identify those that impose an undue burden on domestic energy resources (particularly, oil, natural gas, coal, hydropower, biofuels, critical minerals and nuclear energy resources), and to develop a plan to suspend, revise or rescind such measures.

The executive order, in effect, has put an end to all activities, programmes and operations associated with the American Climate Corps, which was entrusted to fight the battle against climate change. All the heads of executive departments will now undertake efforts to eliminate delays with their respective permitting process and use all authorities, including emergency authorities, to expedite their federal permits, including a potential revision or reimagining of the National Environmental Policy Act (NEPA) process. The executive order will also prioritise accuracy in environmental analyses through the end of the “Interagency Working Group” on the Social Cost of Greenhouse Gases.

One of the most significant sections of the executive order is Section 7, which terminates the “Green New Deal,” by directing all agencies to immediately pause the disbursement of funds appropriated through the Inflation Reduction Act (IRA) or the Infrastructure Investment and Jobs Act (IJA), including but not limited to funds for electric vehicle charging stations made available through the National Electric Vehicle Infrastructure Formula Programme.

“Although Section 7’s effect on the renewable energy tax credits under the IRA is unclear, it appears that the order is aimed at targeting grants, loans and contracts under the IRA and IJA, not tax credits. The IRA’s direct pay mechanism under Section 6417 of the Internal Revenue Code is not likely to be affected by this language since direct pay is a statutory method for claiming a tax refund and not a grant, loan or contract. If the executive order is interpreted to halt direct pay, it will likely be subject to considerable legal scrutiny and ultimately be overturned as taxpayers sue for direct pay payments that they are entitled to by statute,” observed United States-based law firm McGuireWoods.

Additionally, the secretary of energy will restart reviews of applications for approvals of liquified natural gas (LNG) export projects as expeditiously as possible, apart from considering the economic and employment impacts on the United States and on the security of allies and partners that would result from granting such applications.

The executive order also requires the secretary of the interior, secretary of agriculture, administrator of the Environmental Protection Agency, chairman of the Council on Environmental Quality and heads of other relevant agencies to revise undue burdens on the domestic mining and processing of nonfuel minerals.

Since Alaska holds an abundant and largely untapped supply of natural resources including energy, minerals, timber and seafood, the Trump administration has now directed the United States departments and agencies to maximise the development and production of natural resources (including LNG) efficiently and effectively on federal and state lands in the region. Federal departments and agencies are directed to prioritise the development of Alaska’s liquified natural gas potential.

Judging players’ reactions

While the new executive order has given a massive playing field for the oil and gas majors, several of these ventures have already warned about not looking to increase production unless prices increase significantly. In 2024, American oil and gas production rose to record highs. Crude output increased by 260,000 bpd month-on-month, to a record 13.46 million bpd, in October, in line with demand growth, according to the US Energy Information Administration (EIA). In 2024, drilling operations became more efficient, allowing for greater output. However, weaker-than-expected demand growth in several parts of the world, particularly China, contributed to lower oil prices.

Many oil and gas companies have shown support for Trump’s executive orders, which make it easier to conduct operations, including new exploration projects and production increases. However, several oil executives have said these new policies will not lead to an immediate output boost, stating concerns over oil prices. While Trump hopes to help reduce inflation by decreasing energy prices for consumers, many oil companies are hesitant to increase output without the guarantee of higher oil and gas prices.

Ron Gusek, the president of oil field services company Liberty Energy, said, “What you are seeing is a huge amount of positivity. But it’s too early to say that that’s going to translate into a change in actual activity levels here in North America.”

American energy majors have spent large amounts in increasing their oil and gas production in recent years. Things have only accelerated since 2022 in the wake of the Russia-Ukraine war and subsequent sanctions on Moscow’s energy trade, which created an oil and gas shortage around the globe and drove prices up, with Europe particularly feeling the pinch hard.

In addition, with the International Energy Agency’s warning that the demand for fossil fuels will decline from 2030, many oil and gas companies are exploiting their resources while global demand remains high. However, after several years of spending, many are reluctant to invest more without a guarantee of a return.

According to the EIA, Brent Benchmark crude oil prices are expected to average $74 per barrel in 2025, marking a decrease from $81 in 2024. However, with Trump being the US President, several customers have shown interest in signing long-term deals for US gas exports, according to Ben Dell, a managing partner of the energy investment firm Kimmeridge.

Dell noted, “People want to be early and in the forefront of signing up for US products to try and stave off potential tariff threats.”

Trump threatened to introduce 25% tariffs on Canadian and Mexican products, including energy. The Republican also said that he planned to introduce the tariffs on his first day in office.

Following announcements of strong retaliatory measures from Ottawa and Mexico City, Trump has decided to pause his plans. The world’s largest economy will now pursue negotiations to address its bilateral concerns with its North and Latin American neighbours. If tariffs on oil and gas are introduced in the coming weeks, they could drive up energy prices and increase reliance on domestic production.

“We still expect Canadian oil producers to eventually bear most of the burden of the tariff with a $3 to $4 a barrel wider-than-normal discount on Canadian crude given limited alternative export markets, with US consumers of refined products bearing the remaining $2 to $3 a barrel burden. We estimate Canadian natural gas exports to the US might drop by a modest 0.16 billion cubic feet per day (bcfd) as a result of 10% import tariffs, with little if any impact on US gas prices,” stated Goldman Sachs on the prospects of Washington imposing tariffs on Ottawa.

Will golden days arrive?

According to analysts at Scotiabank, United States-based exploration and production companies are expected to target 5% production growth in 2025, and flat to slightly lower year-over-year capital expenditures. This is except ExxonMobil, which has plans for a large increase in production.

Talking about ExxonMobil, the energy major has announced plans to increase its oil and gas output by 18% by 2030, with a focus on expanding its operations in the United States and Guyana. The plan includes raising annual project spending to $28-33 billion from 2026 to 2030. The company recently acquired US shale producer Pioneer Natural Resources. Exxon also plans to boost earnings by $20 billion and increase cash flow by $30 billion over the next five years.

This financial boost will support Exxon’s expansion plans in oil and liquefied natural gas (LNG) production, while also driving shareholder returns. The venture is already benefitting from its profitable Guyana operations and its growing US shale business. CEO Darren Woods has stated that the increased project spending would “generate returns of more than 30% over the life of the investments.”

The company intends to triple its production in the Permian Basin, the leading US shale field, to 2.3 million barrels per day (mbbl/d) by 2030. Additionally, Exxon aims to produce 1.3mbbl/d from its Guyana operations. Overall, ExxonMobil’s oil and gas output is projected to reach 5.4mbbl/d, marking an 18% increase from the current 4.58mbbl/d.

The company plans to add two projects in Guyana by 2030, aligning with its previous statement of seven to ten projects. Its LNG target remains at 40 million tonnes per annum. These targets aim to reassure shareholders that returns can be maintained despite fluctuations in oil market prices.

However, if we talk about the bigger picture, Wall Street expects American oil and gas companies to keep a lid on spending in 2025, while focussing more on generating shareholder returns, despite Trump’s “Drill, Baby, Drill” call.

While Trump’s oil and gas production-maximising agenda has sky-high ambitions, the reality is that the industry has been driving down costs and increasing production by using more efficient technology rather than drilling many new wells. Producers are also contending with lower global oil prices as the post-COVID demand rebound runs its course, amid China’s economic slowdown.

During an interaction with Reuters, Rob Thummel, senior portfolio manager at Tortoise Capital, “We expect most oil and gas producers to remain disciplined with capital expenditures. However, less regulation will make it easier to increase drilling activity if commodity prices reach levels that are too high.”

Another American energy major, Chevron, recently reported Q4 earnings below Wall Street estimates as weak margins dragged its refining business into a loss for the first time since 2020. Chevron CEO Mike Wirth said that the post-COVID surge in fuel margins had run its course, and the downtrend is set to continue in 2025.

The second-largest American oil producer, one of the first companies to heed Trump’s executive order renaming the Gulf of Mexico the “Gulf of America,” posted adjusted earnings per share of $2.06, way below Wall Street’s $2.11 estimate. Chevron’s downstream business lost $248 million in Q4, compared with a profit of $1.15 billion in the same period a year ago.

In a note, RBC analysts said profit from the company’s oil and gas exploration and production unit rose to $4.3 billion from $1.59 billion a year ago when the figure included charges, but the US business missed consensus estimates.

“A relatively soft set of numbers. With the strong run, CVX has had relative to peers over recent months, we expect these results to be taken as disappointing,” they remarked.

Chevron further noted a trend in the conventional energy sector: refining margins softening in both American and international markets, but weak jet fuel demand aggravating troubles for the American energy majors’ domestic businesses.

The company has also remained locked in a bitter arbitration battle with Exxon over its proposed $53-billion takeover of Hess, which owns a 30% stake in Exxon’s Guyana holdings.

“Producer ConocoPhillips could also grow oil and gas production in the low single-digit percentage in 2025 to focus on returning cash to shareholders,” Barclays said.

In December 2024, the company completed its $22.5 billion buyout of smaller peer Marathon Oil, which had been under a Federal Trade Commission review. According to Scotiabank analysts, this could swing its performance up.

“Occidental, meanwhile, is expected to report $730.9 million in adjusted profit for the fourth quarter, up from $710 million in the same quarter last year. The oil producer closed its acquisition of CrownRock in August and its capex this year is expected to total $7.44 billion, up from $6.9 billion last year,” Barclays continued, while adding, “For Diamondback Energy, Raymond James analysts expect the company to choose free cash flow over growth after its acquisition of Endeavor. Profit is expected to come in at $977 million, up from $854 million in the same quarter last year. Production growth is expected to be flat with lesser spending in 2025.”

Rob Thummel, a senior portfolio manager at Tortoise Capital, said “We expect most oil and gas producers to remain disciplined with capital expenditures. However, less regulation will make it easier to increase drilling activity if commodity prices reach levels that are too high.”

“Despite Trump’s best efforts to immediately push oil and gas production up, it appears that the American fossil fuel producers will only increase output if the price is right. The introduction of several executive orders favouring oil and gas will make it easier to develop new projects and produce more if oil majors desire. It could also encourage more customers to invest in American oil and gas, to avoid tariffs on foreign energy products. However, it is unlikely to have an immediate effect on the oil and gas output-related activities in the world’s largest economy, which is already at a record high, unless the Brent Benchmark looks set to increase,” noted Oilprice.com.

The slogan “Drill, Baby, Drill” is simply unattainable, especially considering that profit margins for fuel sales dropped significantly across the industry in 2024. This decline was driven by a fading surge in post-pandemic demand and a slowdown in economic activity in both the United States and China.

However, there is a development that could brighten the prospects for energy sector players. As the demand for artificial intelligence (AI) continues to rise, data centres are becoming essential components of the 21st-century tech ecosystem. These data centres provide the computational power necessary to train complex algorithms and manage vast amounts of data. Consequently, there is an estimated need for an additional 47 gigawatts of power capacity across the United States by 2030.

Notably, approximately 60% of this US demand is expected to be met by natural gas, thereby creating significant growth opportunities for oil and gas suppliers. Globally, the demand for natural gas will rise substantially, with some analysts forecasting up to 50% market growth over the next five years.

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Iraq is in talks with other US oil companies to takeover Exxon’s position as the field’s operator. China National Petroleum and CNOOC are also likely contenders. Previously, Exxon sold 25 percent of its stake in the oil field to PetroChina and 10 percent to Pertamina.

Director General Khalid Hamza said in an interview, “We hoped that Chevron would buy Exxon’s share and be the replacement, but it seems that they didn’t have the desire to be the replacement.”

Last year, it was reported that Chinese state-owned China National Petroleum Corporation (CNPC) and China National Offshore Oil Corporation (CNOOC) were interested in ExxonMobil’s operating stake in the West Qurna 1 oil fields in Iraq.

During the same period, it was also reported that Exxon Mobil might invest around $240 million at its Baton Rouge refinery, according to the Louisiana Economic Development (LED) department. The investment would significantly increase the refinery’s processing capacity. Currently, the refinery produces 517,000 barrels per day (bpd).

At the same time, the investment would also increase flexibility for meeting market demand, boost overall site competitiveness and install technology that would voluntarily cut volatile organic compound emissions by 10 percent.

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Tender Board Chairman Shaikh Nayef bin Khalid Al Khalifa told the media, “Despite the ongoing global economic challenges, the first nine months of 2020 have seen Bahrain award more than 1,000 contracts valued at well over $2 billion to businesses in all sectors across the board. This robust performance is indicative of Bahrain’s commitment and ability to remain open for business even in times of crisis. Of particular note is the consistently high value of contracts in the kingdom’s thriving construction and engineering sector, testament to the rich opportunity on offer owing to our extensive, multi-billion dollar pipeline of projects there.”

Last month, state news agency BNA reported that Bahrain’s Oil and Gas and US-based oil giant Chevron have signed an agreement to conduct a joint study assessing future demand for gas in the kingdom and identify potential sources of supply.

The company also recently signed a Memorandum of Understanding (MoU) with Air Products to boost the usage of hydrogen energy. Mazan Matar, Chairman of Bahrain LNG WLL signed the MoU with Imtiaz Mahtab, Air Products President of Middle East, Egypt and Turkey.

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