Hungarian MOL to look for oil in Africa’s largest untapped reserves

Hungarian oil and gas company MOL on Wednesday announced its entry into Libya in partnership with Spain’s Repsol and Türkiye’s TPAO.

After winning a joint bid for the O7 offshore block, MOL will enter the exploration project with a 20pc stake. Repsol will hold 40pc and operate the project, and TPAO will have a 40pc share. The O7 block, which covers more than 10,300 square kilomteres, is located about 140km northwest of Benghazi, the Hungarian News Agency wrote.

MOL group chief executive Zsolt Hernádi emphasised in the statement: the alliance with two seasoned operators positions MOL to play a pivotal role in one of North Africa’s most promising offshore exploration ventures, while sharing in its rewards.

For MOL, entering Libya represents more than mere geographical expansion; this joint venture marks a significant stride in diversifying resources and bolstering energy security for our region’s landlocked nations, the chief executive elaborated.

The release recalled that, as part of MOL’s international portfolio, the company holds oil and gas exploration and production assets in nine countries, operating in eight: Croatia, Azerbaijan, Iraq, Kazakhstan, Russia, Pakistan, Egypt, and Hungary.

90,000 barrels per day

To achieve a daily production level of at least 90,000 barrels of oil equivalent over the next five years, MOL aims to fortify its international footprint and forge additional strategic partnerships.