Reuters reports that Algerian state energy firm Sonatrach is to resume exploratory drilling in Libya by the end of June, having suspending work because of last year's uprising.
Sonatrach has exploration rights in the Ghadames basin, near the border between the two countries. Libya's National Oil Company recently announced the discovery of oil at one of its sites in the area.
Sonatrach's overseas unit will start drilling a fifth well at block 65, one of two blocks it is exploring in the Ghadames basin, the energy official said, speaking on condition of anonymity.
Foreign companies are gradually going back to Libya, despite concerns over security and about the possibility the new authorities will review contracts signed during the rule of ousted leader Muammar Gaddafi.