Yes, I believe that. It's well-evidenced that this was being explored and also very clear that Libya had the resource to do it. They had large gold reserves, a successful oil industry (hamstrung by limited access to Western equipment but still) and the good reputation to do it. As I mentioned above, Gadhaffi was the elected chair of the African union, Libya had on many occasions used its wealth to fund programs in other African countries and fund pro-African groups. They'd also helped keep the peace in some of the less stable African regions. So we know they had the capability and the opportunity and were at the minimum investigating it. Frankly, it would have made a lot of economic sense. There are downsides to a currency system that wide (look at the difficulties in Greece with the Euro for example). But then a lot of the countries that might have signed on to it are already penalised in such a way already because their currency is pegged to the Euro by France, which controls the issuing of their currency (14 nations belong to either the Central African Franc or the Western African Franc - both of which are French owned currencies). So it could well have been a net gain. But long-term successful or not, the question is whether or not Libya would have done it and it's very likely they were going to. This isn't "jet fuel can't melt steel beams" conspiracy theory. This is more "a lot of people don't know" level stuff.
In addition to Shell, lets throw in Goldman Sachs to the equation. The Libyan Investment Authority entrusted over a billion US dollars with Goldman Sachs. GS then "lost" nearly all of it. Libya pursued legal action against them and forced GS to a deal whereby they'd re-invest and get $5bn in preferred shares. GS and the US government are, as I'm sure you already know, more entangled than two octopuses *******. The prospect of LIBYA of all countries have a significant voting share in GS was unpalatable to say the least. Immediately with the NATO decision to attack you had asset freezing and to the best I've been able to find out, this was just quietly dropped. I say asset freezing, seizing is more likely. Who knows where Libya's gold reserves are today? It's a mystery.
Anyway, source for the above. It's the Guardian but hey - the truth shows up in the unlikeliest of places sometimes.
https://www.theguardian.com/business/2011/may/31/goldman-sachs-libya-investment