TRIPOLI, Libya, Feb. 29 (UPI) -- Libya's National Oil Corp. and ExxonMobil Corp. signed a $97 million deal that allows Exxon to explore and produce oil in Libya.
The Middle East-African Financial Network reported that Exxon said it has earmarked $97 million for Bloc 21, an offshore area in Libya where it has plans to conduct exploration and production activities.
The agreement was signed by the NOC leadership committee secretary, Choukri Hanem, and Exxon Mobil Ltd. Managing Director Philip Goss.
Exxon will give $72 million as an upfront payment to NOC after the agreement is officially approved by the government, and then it will pay an additional $25 million for training programs during exploration and $3 million for Libyan schools.
Libya has a goal to raise its oil production to 3 million barrels a day by 2013, from its current of 1.74 million barrels, and gas output from 2.7 billion cubic feet a day currently to 3.8 billion cubic feet a day in 2015.
Europe has been demanding more fuel supplies from North Africa to reduce dependence on Russia.
