Despite the appointment of a new government last month, Citi Group’s research unit has commented cautiously on Lebanon’s outlook for oil and gas exploration. “Despite the formation of a government, we believe the prospects for the implementation of an oil and gas strategy remain low,” the group said in its latest Middle East Macro Monthly report published on Friday.

While the researchers emphasized that they see domestic oil and gas exploitation as a potential game-changer that could “spur a major transformation in the country’s economic fortunes,” they were skeptical that the already thrice delayed tendering process for offshore exploration blocks would progress in the current political climate. “We believe it is likely to be delayed yet again,” the researchers wrote.