Bustani Announces Second Round of Bidding for Offshore Oil Licensing

Energy Minister Nada al-Bustani announced in a press conference on Friday the opening of a second round of bidding for licenses to search offshore oil and gas field blocks number 1, 2, 5, 8 and 10.

Bustani said the deadline for companies to submit their offers for five of the country's ten offshore blocks is January 31, 2020.

The Minister’s announcement came one day after the Cabinet approved the project during a meeting held on Thursday.

The first round of Lebanon's licensing process saw two blocks in the Mediterranean Sea awarded to French Total, Italian Eni and Russian Novatek. One of them is disputed in part by Israel.

Bustani said the objective is to increase exploration in the Lebanese maritime waters, and strengthen competition among bidding companies.

"We are heading toward an oil-productive Lebanon," Boustani said.

She said exploration in oil field number 4 will launch before the end of 2019, and in block number 9 will start in 2020.

"We will issue and publish in turn the decisions that determine all procedures of the second licensing bid in accordance with the laws in force,” added Bustani.

"The Ministry and the Lebanese Petroleum Administration are committed to the rules of transparency required during all procedures,” she concluded.

Lebanese governments have long sought energy development but political bickering and a dispute with Israel over the maritime border has caused delays.