LIBYA: Rebels put oil exports on hold

Record ID: 344025

  • Title: LIBYA: Rebels put oil exports on hold
  • Date: 20th April 2011
  • Summary: BREGA, LIBYA (FILE - MARCH 27, 2011) (REUTERS) VARIOUS OF OIL TERMINAL FACILITIES IN BREGA AREA TOBRUK, LIBYA (FILE - MARCH 15, 2011) (REUTERS) VARIOUS OF OIL TERMINAL
  • Embargoed: 5th May 2011 13:00
  • Keywords:
  • Location: Libya
  • Country: Libya
  • Topics: Industry
  • Reuters ID: LVA3IUBXMFXZBXRX09NDXM3KY4GT
  • Story Text: Libyan rebels are unlikely to export any more oil until they are able to resume production, but are keeping in touch with potential buyers, an oil official in the opposition-held east said on Monday (April 18).
    Rebels now control fields owned by the Arabian Gulf Oil Company (Agoco) with a combined potential production capacity of about 400,000 barrels per day, Wahid Bugaighis told Reuters in an interview.
    "Well, we control about one third of the production of the pre-revolution, our February 17 revolution, mainly in the eastern part of the country. In the rest of the country, all the oil fields have been shut down and are under the control by of the oppressive regime," Bugaighis said.
    "I think we will return to production in the Eastern area in a matter of weeks," he added.
    Bugaighis was appointed head of the National Oil Company for Libya by the rebels' Benghazi-based national transitional council.
    Rebels had to shut down oil production after forces loyal to Muammar Gaddafi attacked Agoco's Misla field over a week ago, but Bugaighis said he hoped production would resume in few weeks.
    The Libyan opposition is eager to resume exports so it can pay salaries and meet other expenses as it tries to oust Gaddafi. If they do manage to get rid of Gaddafi, Bugaighis said, Libya's new leadership would try to root out malpractice in the oil industry. He said the new leadership would respect all existing deals with foreign companies.
    "Our future policy, after the Gaddafi regime is gone, is to return fields that are not producing now to productivity and strengthen our national technical expertise in oil fields. We affirm that we will respect all agreements we now have with foreign companies, and will welcome new investments in the country," he said.
    Bugaighis said help would be sought from both Western countries and the Middle East to restore oil production capability, which he said was vital for the oppositions efforts to overthrow leader Muammar Gaddafi.
    "I think that we will be able to resume our production through our national efforts at the nearest opportunity, as we need these resources, to fund our revolution through the sale of oil," he said.
    Bugaighis was speaking nearly two weeks after the council, with the help of OPEC member Qatar, exported a shipment of crude oil.
    On April 6, a tanker, the Liberian registered Equator, arrived at the east Libyan port of Marsa el Hariga in rebel-held territory to load the first shipment of crude since the crisis forced a shutdown of oil exports in March.
    The rebels control the eastern oil terminal at Tobruk but control of the key oil port of Brega, west of Benghazi, has swung back and forth between rebel and Libyan government control.
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