Armed Group Halts Major Libyan Oilfield Production Amid Global Price Spike
Libya's National Oil Corporation (NOC) reported that an armed group has cut production at one of the country's largest oilfields, Sharara, by around 200,000 barrels per day. The group closed valve seven on the Sharara-Zawiya pipeline on Monday, according to Reuters.
The field was producing between 100,000 and 105,000 barrels per day following the closure. This represents roughly two-thirds of its normal production capacity of between 300,000 and 320,000 barrels per day.
Sharara is operated through the Acacus Oil Operations joint venture, which includes international partners such as Spain's Repsol, France's TotalEnergies, Austria's OMV, and Norway's Equinor. The disruption adds a European corporate dimension to what could otherwise be seen as an exclusively domestic Libyan dispute.
The production reduction came as Brent crude futures for November traded at $101.48 per barrel early on Tuesday, while the more actively traded November US West Texas Intermediate contract reached $93.22.