Libyan state-owned National Oil Corporation (NOC) lifted on Sunday the state of force majeure on Sharara oilfield, the country's largest oilfield, while a Libyan source said initial output would start at 40,000 barrels per day (bpd) to reach 355,000 bpd on Monday.
Libyan oil production almost entirely shut down in January when energy exports were blockaded. However, Libyan National Army (LNA) Commander Khalifa Haftar said last month he was lifting the blockade and NOC restarted output and exports from fields and ports where fighters were no longer based.
NOC said in a statement it had given directions to the operator of the Sharara oilfield Acacus to start production arrangements, taking into consideration public safety and process safety standards.
Sharara was producing 300,000 bpd of oil before the blockade. Crude from Sharara will be prioritized to feed the Zawia oil refinery, the Libyan source said, Reuters reported.
For his part, NOC's Chairman of the Board Eng. Mustafa Sanalla said that: “The National Oil Corporation is the only entity responsible for the management of petroleum industry in the State of Libya in all aspects, including exploration, production, refining, manufacturing, exporting, and marketing pursuant to the applicable Libyan laws and legislation.”
"By restoring stability to the oil sector, all the region's countries will maintain their stability including the European Union countries as Libya have had strong economic relationships with these countries for 500 years," he added.
Sanalla reiterated the importance of keeping the NOC away from any political conflicts because it is the backbone of the Libyan economy and the only resource of income.
"The oil revenues must be managed in a fair and equitable manner for all in a way that ensures a decent life for the Libyan people and the next generations,” he stressed.
