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Libya’s NOC declares force majeure after losses following closure of Sharara and El Feel oilfields

The closure of the crude pumping valves from the El Sharara and El Feel fields caused a loss of 330,000 barrels per day, and losses that exceeded 160 million dinars, which prompted the National Oil Corporation to declare a state of force majeure.

According to what the NOC’s media office said, reporting Mustafa Sanalla – the chairman – these losses prevent the NOC from honoring its commitments to refiners in the oil market, especially with the price increase seen by Brent and US crude.

The oil sector has been suffering from frequent closures over the past years, not to mention the deterioration of the infrastructure of crude oil transmission pipelines. Sanalla announced earlier that the government pledged to liquidate part of the budget allocated to the sector, with an estimated value of 2.5 billion dinars in the near future.

During his meeting with the heads of the departmental committees of the oil companies, Sanalla explained that this procedure came after contacts and meetings in order to solve the problems related to maintaining the continuity of production, paying the overdue salaries to Al-Jouf companies, and supplying the oil fields, which were delayed for four consecutive months.

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