BP Plc (NYSE:BP) will reopen its office in Tripoli by late 2025 as part of a renewed push to resume operations in Libya, the company confirmed following the signing of a memorandum of understanding with the country's National Oil Corporation (NOC).

The agreement, signed Tuesday in London, sets the stage for BP to assess new exploration and production opportunities in key Libyan fields. NOC Chairman Masoud Suleman welcomed the company's return and called for expanded collaboration in workforce training and development within Libya's oil sector.

The memorandum outlines BP's plan to conduct technical studies evaluating the potential for hydrocarbon development in the Messla and Sarir oil fields and adjacent exploration zones. These efforts are seen as a signal of BP's intention to deepen its operational footprint in the North African nation after years of suspended activities due to conflict and instability.

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In a separate meeting, the NOC reached an agreement with Shell Plc (NYSE:SHEL) for the company to evaluate hydrocarbon prospects and conduct a comprehensive technical and economic feasibility study to develop the al-Atshan field and other fields fully owned by the NOC, excluding any areas where third parties, other than the NOC and Shell, have rights. Shell's initiative complements Libya's broader strategy to boost output and revitalize its energy sector through foreign partnerships.

At the signing event, Suleman emphasized the importance of building technical and leadership capacity within Libya's oil industry and thanked joint technical teams for their work in finalizing the agreements. The NOC hopes the re-engagement of international players will spur sustainable growth and enhance Libya's economic stability.

Related ETFs include Energy Select Sector SPDR Fund (NYSE:XLE) and iShares Global Energy ETF (NYSE:IXC).

Price Action: SHEL shares are trading higher by 0.56% to $70.21, and BP was up 1.09% at $30.58 premarket at last check Tuesday.

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