Libya struck by fresh output disruption, port threats

Market: Crude oil
09/06/22

Protesters have started to shut down Libya's 200,000 b/d eastern Sarir field, according to a Libyan source, amid threats of port disruptions at Es Sider and Ras Lanuf.

It was not immediately clear if Sarir had been fully taken off line, or was only in the process of lowering production. The field is operated by state-controlled NOC subsidiary Agoco, alongside the Mesla, Hamada, Nafoora, al-Bayda and Majid assets. It produces the same-named Sarir crude, exported from the Marsa el-Hariga terminal.

Fresh threats erupted at the key eastern ports Es Sider and Ras Lanuf, according to a second Libyan source. The ports have not been reported closed at this time. At Es Sider, trespassers threatened to close the terminal and to prevent the entry of any vessels. There is currently no tanker at the terminal.

Demonstrators also entered the Ras Lanuf terminal, where the vessel Kriti Bastion is being allowed to complete loading its cargo. The protesters threatened to shut down port operations once the tanker departs.

The prospective disruptions add to demonstrations that have shut-in over a quarter of Libya's production since mid-April. Demonstrators have closed off the 70,000 b/d El Feel field, and the Zueitina and Marsa el-Brega terminals. Libya's largest field, the 300,000 b/d El Sharara, was also initially taken offline by demonstrators, but it has been functioning intermittently and at minimal capacity since 5 June.

Previously, protesters demanded a transfer of power from Abdelhamid Dbeibeh's Government of Nation Unity (GNU) to Fathi Bashagha's Government of National Stability (GNS), a fair distribution of oil revenues across Libya's provinces and the dismissal of NOC head Mustafa Sanalla.

It is uncertain if the groups acting at Es Sider, Ras Lanuf and Sarir are affiliated with the previous wave of protesters and share their demands.

By Ruxandra Iordache

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21/11/24

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