South Korea and Libya are exploring a potential oil-refining partnership that could link Libya’s crude resources with Seoul’s strategy to diversify energy imports away from the Middle East. These plans came up during the September 27-28 Libya-South Korea Economic Cooperation Forum hosted in Tripoli. Korean and Libyan officials and companies examined opportunities across energy, infrastructure, technology, and trade.
Refining Proposals Target Domestic Fuel Supply and Exports
Talks are underway regarding potential assistance from Korean firms for crude refining inside Libya to meet local gasoline and diesel demands. In exchange, South Korea could secure a share of Libyan crude for its own domestic refineries. No formal agreement covering the proposals has been announced.
For Libya, the refining initiative addresses ongoing challenges in converting substantial crude resources into reliable supplies of petroleum products for the domestic economy. Following the reactivation of crude flows through the Sharara-Zawiya pipeline, Libya’s National Oil Corporation recently brought initial refining units at the Zawiya facility back online. Refined products from the site are expected to support local fuel stations and power-generation operations.
South Korea Pursues Energy Diversification Away From the Middle East
For South Korea, the proposed relationship ties directly into national energy-security goals. National refining capacity sits at approximately 3.5 million barrels per day according to International Energy Agency figures, placing the nation among operators of the world’s largest refining systems. Korean refineries process imported crude into fuels and petrochemical feedstocks while exporting products like gasoline, diesel, and jet fuel.
Based on figures cited by S&P Global, suppliers from the Middle East made up roughly 62% of South Korea’s crude imports between January and August 2026. That share fell from nearly 70% in 2025 as refiners increased purchases from the Americas, Oceania, and Africa. A structural strategy was revealed by South Korea in September aiming to lower Middle Eastern crude imports to 50% by the year 2035.
Park Jong-han, South Korea’s Deputy Foreign Minister for Economic Affairs, visited Libya in April to meet with National Oil Corporation officials concerning potential purchases of Libyan heavy crude by Korean entities. The NOC indicated it was willing to allocate supplies subject to conditions including crude specifications, delivery timing, and buyer credibility. Seoul maintained diplomatic momentum afterward; during June, Vice Foreign Minister Park Yoonjoo informed Libya’s Minister of State for African Affairs of South Korea’s intent to broaden the footprint of Korean enterprises within Libyan crude oil and refining industries.
Industrial Partnerships Span Construction, Tech, and Infrastructure
The September forum broadened the energy discussion into a wider industrial relationship. Participants included South Korean firms such as Samsung Electronics, LG Electronics, Hyundai Engineering and Construction, Daewoo Engineering and Construction, and Hyundai Heavy Industries. Among the Libyan entities represented at the event were the General Electricity Company of Libya, the Ministry of Economy and Trade, and the Ministry of Housing and Construction.
The two countries share a substantial historical base in construction and contracting. South Korea and Libya established diplomatic relations in December 1980, and Korean companies subsequently became significant participants in local infrastructure development. Cumulative construction orders through 2019 are documented by Korean government sources at approximately $36.8 billion, whereas newer reports referencing the Korean Embassy in Libya estimate Korean corporate contracts encompassing engineering, construction, and the Great Man-Made River initiative at roughly $36.7 billion.
During the gathering, Libyan Economy and Trade Minister Suhail Abu Shiha expressed that Tripoli prefers alliances grounded in technology transfer, production, and investment over a mere expansion of its vendor network. Trade remains relatively modest compared to historical contracting activity. Trade statistics derived from UN Comtrade indicate that South Korean exports to Libya totaled about $454.9 million in 2025, while Libyan imports amounted to roughly $138.2 million, primarily consisting of lead, aluminium, and mineral fuels and oils.
Did you know? The September Economic Cooperation Forum in Tripoli marked the first Korean government economic forum held in Libya since the country’s 2014 civil war, according to Yonhap news agency.
Frequently Asked Questions About the Libya-South Korea Energy Talks
What specific energy projects are South Korea and Libya discussing?
Korean companies are discussing supporting crude refining in Libya to supply gasoline and diesel to the domestic market, while South Korea seeks potential shares of Libyan crude for its own refineries.
Have the two countries signed a formal agreement?
No formal agreement covering the proposals has been announced.
What is South Korea’s target for Middle Eastern oil imports?
South Korea announced a plan in September to reduce the share of its crude imports sourced from the Middle East to 50% by 2035, down from about 70% in 2025.
What was the volume of bilateral trade between the two nations recently?
Trade figures originating from UN Comtrade reveal that South Korean shipments to Libya reached roughly $454.9 million in 2025, with imports originating from Libya resting near $138.2 million.
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