Libya

Marathon is a member of the Waha Group, which acquired exploration and production rights in Libya in the mid-1950s. Marathon and ConocoPhillips each hold a 16.33 percent working interest in the Waha Concessions, Hess Corporation an 8.16 percent working interest and the Libyan National Oil Corporation (NOC) holds the remaining 59.16 percent working interest.

Between 1958 and 1961, the Group discovered fields at Bahi, Dahra, Waha, Defa and Gialo. First oil flowed in 1962 via pipeline to the Es Sider Terminal on the Mediterranean coast. Eight additional fields were discovered and subsequently developed. The Group ceased active participation in the Waha Concessions in 1986 following the imposition of trade sanctions by holds the U.S. government. From 1986 to 2005, the Waha Concessions were operated by the Waha Oil Company, a wholly owned subsidiary of the Libyan NOC.

In 2004, the U.S. government lifted the sanctions on Libya, allowing Marathon and its partners to advance plans to return to the country. In 2005, the Group reached agreement with the Libyan NOC on the terms under which the companies would return to their former oil and gas exploration and production operations.

The concessions, which currently produce approximately 345 gross mboepd, encompass almost 13 million acres in the Sirte Basin. This basin is one of the most prolific oil and gas producing areas of Libya, containing sizable undeveloped oil and gas resources.