Libyan Oil Industry Research Articles

THE IMPACT OF STRATEGIC LEADERSHIP STYLES ON FINANCIAL PERFORMANCE IN LIBYAN OIL AND GAS INDUSTRY

Purpose: The primary objective of this study is to explore the impact of strategic leadership styles on the financial performance of the Libyan oil and gas industry. This is critical considering the industry's role as a mainstay of the Libyan economy and its notable decline over the past decade.
 
 Design/Methodology/Data Analysis: To achieve the study's goals, a cross-sectional approach was employed to accurately reflect the current state of affairs. A quantitative methodology was deemed suitable for this research. Data collection was conducted using a questionnaire distributed among participants. The study's population, as reported by the National Oil Corporation (NOC), was 53,361, with a minimum sample size of 346 staff from various oil and gas companies. This sample size was calculated based on Krejcie and Morgan's (1970) optimal sample size table.
 
 Findings: The research unearthed several key findings. Firstly, it was determined that there is no significant correlation between strategic decision-making and financial performance in Libyan oil and gas companies. However, a negative and significant relationship was identified between human resource management (HRM) activities and financial performance. Conversely, a positive and significant connection was observed between motivational and influential leadership and financial performance within these companies.
 
 Originality/Value: This study adds to the existing body of knowledge by providing empirical evidence on the influence of different strategic leadership styles on financial outcomes in the context of the Libyan oil and gas sector, a subject that has not been extensively explored previously.
 
 Practical Implications: Based on the findings, the research advocates for the oil and gas companies in Libya to prioritize the development and implementation of effective strategic leadership practices. Such measures are suggested to enhance financial performance and secure a competitive edge in the marketplace.

Enhancing project manager communication soft skills and risk management practices in Libyan oil and gas construction projects: the role of experience

Purpose Although there has been an increase in the application of a variety of robust technologies and systems, the oil and gas sector relies on project managers’ soft skills for success because of their vital role. Therefore, this study aims to explore the profound influence of project managers’ soft communication skills on successful risk management within Libya’s oil and gas projects. Design/methodology/approach A review of relevant literature and a quantitative approach through the administration of a questionnaire were used to determine factors impacting risk management implementation related to managerial communication skills. A total of 246 valid responses were received from the oil and gas companies in Tripoli, Libya. Partial least squares structural equation modelling was used to examine the direct and moderating relationship drawn by the hypotheses. Findings The findings suggest that managerial soft skills may be used to improve continuous risk management processes and intra-project communication. It was found that the experience is strengthening the positive relationship between written communication soft skills and project risk management implementation among Libyan oil and gas construction projects. Originality/value This study defines project managers’ soft communication skills and analyzes project managers’ soft communication skills with the role of experience as a moderator. This paper presents a valuable contribution by offering original insights tailored explicitly to the Libyan context. The information presented in this paper is relevant to project managers operating within the oil and gas industry. It also offers a novel approach to risk management in the Libyan oil and gas industry that can improve project efficiency and effectiveness.

Insights into corporate social responsibility disclosure among multinational corporations during host‐country political transformations: Evidence from the Libyan oil industry

AbstractThis study investigates the corporate social responsibility disclosure (CSRD) practices of multinational corporations (MNCs) operating in the Libyan oil industry, particularly amidst significant political transformations within the host‐country (HSC). By examining these insights, we aim to shed light on how these corporations navigate and address CSRD considerations in a dynamic and politically evolving environment. To analyse these aspects, we employ various econometric models, including two‐stage least squares (2SLS) and propensity score matching (PSM). Our examination covers a dataset of 6000 data points representing 35 multinational oil corporations headquartered in 18 different home countries (HMCs) across five continents, spanning the years from 2008 to 2015. Our findings indicated that the level of institutional quality convergence between MNCs' HMCs and HSC significantly determines the extent of HSC‐related CSRD by MNCs. Additionally, the study emphasised that MNCs' internationalisation and business horizon within the HSC are critical factors influencing their CSRD in that country. The findings furthermore suggested that MNCs with a higher CSRD might exert an influence on the political decisions of their HMCs' governments concerning the political crisis in the HSC.

Shale Oil as Feedstock for Libyan Conventional Crude Oil Existing Refineries

Shale oil (light tight oil) refers to Hydrocarbon (HC) trapped in the formations whereas oil and gas cannot easily flow-out into the string pipe as the conventional oil and can be access using horizontal drilling and hydraulic fracking technique using a plenty of water, sand and chemicals at high pressure down to open the rocks fissures and allow the oil to flow-out. The Global shale oil resources are estimated at between 330 - 1,465 billion bbls and the global shale oil production is expected to reach up to 14 million bbls/day by 2035 which is equivalent to about 12% of the world’s total oil supply. Shale oil once is extracted is processed & refined into more useful products utilizing the traditional process wise of refining mechanism. Libyan's shale oil reserves is estimated between 48 to 74 billion barrels (bbls) and that Libya occupies fifth place in global shale oil reserves after Russia, US, China & Argentina. The new amount is added to the inventory to lift the life duration of Libyan oil production from 70 years to 112 years. This paper focuses on studying the possibility that the current Libyan refineries that use conventional oil as feedstock to handle and accommodate unconventional oil (shale oil) from the fields adjacent to the Murzuq Basin. Considering that Al-Zawia Oil Refinery (case study) is currently using conventional oil as feedstock from Sharara Field belongs to Rebsol Oil Operations (concession NC-115). It can be concluded that as a result of the prevailing belief among experts in reservoir engineering and geosciences, that shale oil may have the same chemical and physical properties as conventional oil, so the refinery that uses conventional oil may not need any improvement, development or upgrading operations on its current facilities. Therefore and once the reservoir studies of Murzuq Basin are completed in the future and shale oil production begins using horizontal drilling and hydraulic fracturing technology from the targeted wells, it is possible to start directly pumping the produced quantities of shale oil towards Al-Zawiya Refinery for oil processing whether through the existing pipeline network or that is supposed to be designed for this particular purpose. Libya’s future success in producing and refining shale oil from which it has large reserves, and the entry of Libyan oil industry into this challenge will be a great achievement considering the recent reports and studies issued by energy research centers and global stocks that confirm the decline and depletion of conventional oil production in the most world’s countries.

Does Organizational Justice Influence Employee Innovative Behavior in an Arabic Context? Evidence From the Libyan Oil Industry

Innovative employees are the main source of an organization’s survival in a dynamic environment. Therefore, understanding how to stimulate and sustain employee innovative behaviors is of great importance for organizations. From this perspective, based on the social exchange theory, the current study seeks to investigate the influence of organizational justice on employee innovative behavior within the Libyan context. Through a pre-designed questionnaire, data were gathered from 295 employees working for 5 Libyan national oil companies and analyzed using partial least squares—structural equation modeling [PLS]. The results indicated that procedural justice is positively related to employee innovative behavior, whereas distributive justice and interactional justice are not. The findings foster the assumption that organizational justice perceptions and responses differ across cultures based on national values. The results and implications are discussed in light of the literature and the Libyan work environment and culture.

DETERMINANTS OF SOCIAL AND ENVIRONMENTAL REPORTING PRACTICES DISCLOSURE IN LIBYAN OIL AND GAS INDUSTRY: A MANAGERIAL PERSPECTIVE

The purpose of the study is to investigate the management behaviour in reporting CSER activities and the factors that influence their decision behaviour in the case of Libyan Oil and Gas industry. For this purpose, in-depth interviews were conducted with 9 managers working in Oil and Gas industry in Libya. The transcribed interviews were then analyzed using thematic approach. The findings revealed that the managers recognize companies’ social and environment responsibility, on a self-motivation basis as well as due to the potential negative impacts of a company’s operations on the environment and society. On the other hand, the oil and gas companies deem themselves obliged to report their CSER practices due to the increased awareness about the potential negative impacts of the oil and gas industry. Nevertheless, the disclosure of these practices is still limited due to the lack of a comprehensive framework that sets all CSER requirements for Libyan companies. It is noteworthy that this is the first study that focuses on the management behavior in reporting CSER activities in the Libyan oil and gas industry. Hence, it makes a great contribution and lays the foundation for the future studies in the CSER area. Keywords: Social and Environmental Reporting, Managerial Perception, Developing Economies, Oil and Gas Industry JEL Classifications: Q43, Q52, Q54, M14, L71 DOI: https://doi.org/10.32479/ijeep.10821

Isolation of Indigenous Hydrocarbon Transforming Bacteria from Oil Contaminated Soils in Libya: Selection for Use as Potential Inocula for Soil Bioremediation

The Libyan oil industry has left a significant legacy of contamination and methods are required to remediate oil-contaminated soils in the area. In this work hydrocarbon utilizing microorganisms were isolated and identified from contaminated soil samples obtained from an oil Refinery (Zawia, Libya). After initial screening of eleven isolates capable of growth on hexadecane, the five most promising hydrocarbon–utilizing bacteria were isolated and tested for biosurfactant production and emulsification activity. They were identified (using 16S rRNA sequence analysis) as Pseudomonas putida, Pseudomonas species, Betaproteobacterium, Actinomyces species, and Bacillus species. Among the five species tested, Pseudomonas putida showed superior performance in terms of growth on hydrocarbons (1.0×1010 CFU (ml)), E24 emulsifying activity (86%) and ability to transform hydrocarbons in pure culture. Interestingly, gas chromatographic analysis of crude oil treated with P. putida showed a decrease in heavy hydrocarbon fractions demonstrating a clear potential for this microbe to be used as a soil inoculant in bioremediation.

Measurement of the total activity concentrations of Libyan oil scale

Twenty-three oil scale samples obtained from the Libyan oil and gas industry production facilities onshore have been measured using high-resolution gamma-ray spectrometry with a shielded HPGe detector, the work being carried out within the Environmental Radioactivity Laboratory at the University of Surrey. The main objectives of this work were to determine the extent to which the predominant radionuclides associated with the uranium and thorium natural decay chains were in secular equilibrium with their decay progeny, also to compare differences between the total activity concentrations (TAC) in secular equilibrium and disequilibrium and to evaluate the measured activities for the predominant gamma-ray emitting decay radionuclides within the 232Th and 238U chains. The oil scale NORM samples did not exhibit radioactive equilibrium between the decay progeny and longer-lived parent radionuclides of the 238U and 232Th series.

Analysis of the Barriers to Environmental Management Systems Implementation in the Libyan Oil Industry

Adhering to an Environmental Management System (EMS) is the start point in moving an organisation towards a sustainable future. The aim of this study is to identify the barriers for effective implementation of an EMS (ISO4001) in the Libyan oil sector, which would benefit in smoother implementation in future and as a result will lead to environmental sustainability to the oil sector and the country as a whole. To meet the aim, literature reviews and interviews were carried out, and a case study of Azzawya Oil Company in Libya was conducted. The results of the study show that the most significant barriers are those related to poor leadership and management, resources issues of financial, HR and technical were the second most significant barrier, and external political obstacles of organizational culture and negative attitudes were the third most significant barriers. It is recommended that awareness of environmental issues in the oil sector is raised through the provision of effective human resource management along with appropriate financial and technical means.

Audit firm size and quality: Does audit firm size influence audit quality in the Libyan oil industry?

This study examines the relation between size of audit firm and audit quality, and the choice of accrual measures for a large sample of firms. In relation to the impact of different sizes of audit firms on audit quality, a clear majority of oil companies and audit firms agreed that Big Four firms are superior to their non-Big Four counterparts in all of the reputation issues presented to them, and that the size of the audit firm is positively associated with audit quality. Such superiority is seen in terms of resources and audit technology, and the consequent motivation to perform as professionally as possible. A questionnaire was used to collect data. To confirm and support the questionnaire findings, semi-structured interviews were conducted. The data used for this study were collected from two sources: the demand side (Libyan oil companies) and the supply side (audit firms working in Libya). The data for the Libyan oil companies were gathered from three different types of respondents: internal auditors, financial managers and accounts managers. For the audit firms, data were gathered from employees at all levels in the firm: managing partners, audit supervisors and auditors. Key words: Libya, audit quality, audit firm size, oil company, audit firms.

The use of MCNP and gamma spectrometry in supporting the evaluation of NORM in Libyan oil pipeline scale

The accumulation of scales in production pipes is a common problem in the oil industry, reducing fluid flow and also leading to costly remedies and disposal issues. Typical materials found in such scale are sulphates and carbonates of calcium and barium, or iron sulphide. Radium arising from the uranium/thorium present in oil-bearing rock formations may replace the barium or calcium in these salts to form radium salts. This creates what is known as technologically enhanced naturally occurring radioactive material (TENORM or simply NORM). NORM is a serious environmental and health and safety issue arising from commercial oil and gas extraction operations. Whilst a good deal has been published on the characterisation and measurement of radioactive scales from offshore oil production, little information has been published regarding NORM associated with land-based facilities such as that of the Libyan oil industry. The ongoing investigation described in this paper concerns an assessment of NORM from a number of land based Libyan oil fields. A total of 27 pipe scale samples were collected from eight oil fields, from different locations in Libya. The dose rates, measured using a handheld survey meter positioned on sample surfaces, ranged from 0.1–27.3 μSv h −1. In the initial evaluations of the sample activity, use is being made of a portable HPGe based spectrometry system. To comply with the prevailing safety regulations of the University of Surrey, the samples are being counted in their original form, creating a need for correction of non-homogeneous sample geometries. To derive a detection efficiency based on the actual sample geometries, a technique has been developed using a Monte Carlo particle transport code (MCNPX). A preliminary activity determination has been performed using an HPGe portable detector system.

The impact of sanctions on buyer‐supplier relationship within the Libyan oil industry

PurposeThe purpose of this paper is to explore buyer‐supplier relationships in the Libyan oil industry during and following the sanction era. This paper, utilising four largely validated critical relationship parameters, seeks to flag important buyer‐supplier relationship insights.Design/methodology/approachDesk research is undertaken to explore the selected themes of trust, co‐operation, commitment and communication, which are critical to effective dyadic buyer‐supplier relationships. Subsequently, in‐depth interviews were conducted with five key personnel of five Libyan oil companies to examine the impact of sanctions on the selected themes in relation to their buyer‐supplier relationships.FindingsThe results highlight interesting differentials between the two explored areas in relation to the four selected themes: trust, co‐operation, commitment and communication. The results indicate that there is a significant gap in understanding the impact of sanctions on the buyer‐supplier relationship.Practical implicationsThis paper is of practical use to academics and practitioners who wish to understand the impact on and implications of sanctions on dyadic buyer‐supplier relationships in a developing country. It is also useful to government officials and the oil industry in gaining insights into the effects of sanctions on an economy with significant reliance on the oil industry.Originality/valueThere are extensive studies on the key themes of dyadic buyer‐supplier relationships. However, there is a gap in understanding the impact of sanctions on buyer‐supplier relationship behaviours. The findings in this paper therefore contribute to bridging this gap.

Human Resource Disclosure: Practice and Influences in the Libyan Oil Industry

Human Resource Disclosure: Practice and Influences in the Libyan Oil Industry

Perceptions of Human Resource Disclosure and Accountability: Evidence from Users’ and Providers’ in the Libyan Oil Industry

Perceptions of Human Resource Disclosure and Accountability: Evidence from Users’ and Providers’ in the Libyan Oil Industry

Mössbauer and X-ray Investigation of Clay Minerals Originated from Libya

57Fe transmission Mossbauer spectroscopy and X-ray diffractometry were used to study clay mineral samples originated from two different regions (Um-arrazm and Alkawasim) of Libya in order to get information about their mineralogical composition to assess their potential for use in the Libyan oil industry. In the samples originated from Um-arrazm calcite, akaganeite and nontronite while in the samples originated from Alkawasim quartz, akaganeite, montmorillonite, kaolinite, illite, mica and hematite were identified with different ratios by using diffraction method. The differences in the phase composition of iron-containing phases of samples from different localities have reflected in the complex Mossbauer spectra at both 300 K and 80 K. For the samples originated from Um-arrazm the Mossbauer parameters of subspectra were identified as nontronite and akaganeite.

Libya's Oil Resources

Libya is by most definitions an oil-based economy. Yet academic study of the national oil industry is at best fragmentary. The reasons for the poor showing of the Libyan oil industry in the literature stem partly from the relative decline in its international importance since the mid-1970s and partly from the ambiguity over acknowledgement of the role of the oil industry within Libya.The growth of the Libyan oil industry dates from 1951 and the coming of national independence. There had been surveys of a small scale and technologically limited kind in Libya in the Italian period. Some shows of oil had been discovered in Tripolitania as early as 1914 when water wells were drilled to supply Tripoli city (Waddams 1980, 27). Other oil was discovered in Tripolitania in the 1930s and a full scale exploration programme was prepared in the years 1937–1940 by the Italian national oil corporation under the geological guidance of Professor Ardito Desio, but never fully implemented due to the onset of war. Indeed, Desio was to return as a consultant to the oil companies working in Libya in the 1950s.In 1953 a mineral law was issued which paved the way for the grant of concessions to foreign oil companies to explore and develop oil resources. A petroleum law was promulgated in 1955 which offered rather more favourable terms on fees, rents, royalties and expensing to the oil companies than were available in other longer established oil producing states of North Africa and the Middle East (cf. Waddams, 1980, 57–70). At the same time, the assets of the oil companies in Libya were given far reaching protection under amendments of the petroleum law. The consequence of the generous operating terms of this and subsequent revisions of the law (1961 and 1965) was a rapid growth in the number of concessionaries exploring for oil within the country. The open-door policy pursued by the government was much criticised at a later period. Undoubtedly, however, it did succeed in attracting a wide spectrum of oil companies into Libya, including the major ones, such as Esso, Royal Dutch/Shell, Texaco, Gulf, BP and Mobil, together with many small independent interests. The best international techniques for exploration and development were put to work in Libya within a very short space of time, bringing the country rapidly into the ranks of the main oil-exporting states. Oil exports began on a commercial scale in September 1961 from Esso's Zelten fields in the Sirtican area, concession No. 6.