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Libya Fighting Halts 1st Oil Cargo Since 2014

Libya Fighting  Halts 1st Oil Cargo Since 2014
Libya Fighting  Halts 1st Oil Cargo Since 2014

Libya halted loading what would be the first overseas crude shipment from the port of Ras Lanuf since 2014 as rival armed forces began fighting for control of the facility, complicating efforts to end a five-year conflict that has slashed oil exports from the OPEC country.

Clashes erupted on Sunday between local Petroleum Facilities Guard units and military forces that last week occupied Ras Lanuf and the country’s largest oil port of Es Sider in east Libya, Nasser Delaab, petroleum operations inspector at Harouge Oil Operations, said by phone, Bloomberg reported.

The fighting forced the tanker Seadelta to suspend the loading of 781,000 barrels of oil for shipment to Italy, he said.

The vessel was loading crude from onshore storage tanks, said Delaab, who helps organize oil movements at Ras Lanuf, Libya’s third-largest oil port. The Seadelta arrived there early Sunday from Trieste, Italy, according to tanker tracking data compiled by Bloomberg.

Libya is seeking to boost crude exports after fighting among rival militias slashed oil production following the 2011 ouster of the long-ruling Muammar Gaddafi.

The conflict halted exports from the nation’s main oil ports of Es Sider, Zueitina and Ras Lanuf as the country struggled to form a unified national government. The National Oil Corp. planned to resume exports from the ports after reaching an accord with Khalifa Haftar, a military commander who seized control of the facilities last week.

Haftar took Ras Lanuf and Es Sider from Ibrahim Jadran, leader of local Petroleum Facilities Guard units, giving the eastern region’s powerful military chief control of both shipping terminals and oil fields in Libya’s main producing areas.

Petroleum Facilities Guard members have retaken Es Sider after clashes, a guard spokesman, Ali al-Hasy, said Sunday by phone. Mohammad Al-Azoumi, spokesman for a battalion under Haftar’s command, disputed that account, saying by phone that Haftar’s forces retained control of Es Sider.

Financialtribune.com