Subscribe to our free daily newsletters
  Oil and Gas News from OilGasDaily.Com  

Subscribe to our free daily newsletters

Libya's economic recovery hurt by attacks on oil centers
by Daniel J. Graeber
Washington (UPI) Aug 31, 2017

With a loss from missing oil revenue, the closure of Libyan oil fields by militants is thwarting economic progress in the country, an oil director said.

The Libyan National Oil Corp. said force majeure, a contractual condition related to circumstances beyond the control of the parties involved, was declared for production at three oil fields. The NOC said militants had shut in more than 360,000 barrels of oil per day in the west of the country at a cost of hundreds of millions of dollars.

"This is a national tragedy," NOC Chairman Mustafa Sanalla said in a statement. "Our production was recovering, not quite enough to balance the budget, but enough to give us hope that our financial position could stabilize."

The shut-in equates to about 35 percent of total Libyan crude oil production. A member of the Organization of Petroleum Exporting Countries, the country is exempt from an effort to counter an over-supplied market through production declines because of national security issues.

The Central Bank of Libya in early August expressed its support for further coordination with the NOC. Sanalla said oil operations help offset a federal deficit and cut in to the depletion of savings at the Central Bank, but now that effort was eroding because of militant activity.

Libyan production before the most recent militant activity had passed just over 1 million barrels per day, though that's about 60 percent of its full potential. According to the World Bank, revenue from oil won't be enough to cover budget expenses. The budget deficit for Libya is expected to be around 19 percent of its total gross domestic product.

Libyan output has moved in fits and starts for much of the year, though production has been able to recover from setbacks quicker than in the past. Were it not for the deep impact to the U.S. energy sector from Tropical Storm Harvey, Libyan outages would have a big market impact.

Ole Hanson, the head of commodity strategy at Saxo Bank, told UPI most of the "low-hanging fruit has been plucked" from Libyan oil so the downside risk has been reduced.

"On that basis Libya's ability to move markets, especially to the downside on increased production, should somewhat fade over the coming months," he added. "The upside price risks due to disruptions are going to stay for a long time considering the fragile state of the country."

Gasoline prices spike on shortage worries in Harvey's wake
New York (AFP) Aug 31, 2017
US gasoline prices have jumped in the aftermath of Hurricane Harvey and local shortages could occur but the situation is likely to stabilize in the coming days. A gallon (3.8 liters) of gasoline rose 13.5 percent in New York on Thursday to close at $2.1399, leaving it up nearly 30 percent since Friday, the day Harvey made landfall in Texas. The US Gulf Cost is home to about a third of A ... read more

Related Links
All About Oil and Gas News at

Thanks for being here;
We need your help. The SpaceDaily news network continues to grow but revenues have never been harder to maintain.

With the rise of Ad Blockers, and Facebook - our traditional revenue sources via quality network advertising continues to decline. And unlike so many other news sites, we don't have a paywall - with those annoying usernames and passwords.

Our news coverage takes time and effort to publish 365 days a year.

If you find our news sites informative and useful then please consider becoming a regular supporter or for now make a one off contribution.

SpaceDaily Contributor
$5 Billed Once

credit card or paypal
SpaceDaily Monthly Supporter
$5 Billed Monthly

paypal only

Comment using your Disqus, Facebook, Google or Twitter login.

Share this article via these popular social media networks DiggDigg RedditReddit GoogleGoogle

Researchers identify cheaper, greener biofuels processing catalyst

Technique could aid mass production of biodegradable plastic

How a bacterium can live on methanol

Cyborg bacteria outperform plants when turning sunlight into useful compounds

Moscow gets its first traffic signals powered by renewable energy

Perovskite solar cells go single crystal

Shape-shifters soak up sunshine

Photosynthesis discovery could help design more efficient artificial solar cells

Saudi Arabia shortlists 25 bidders for major wind plant

First foundations set for Baltic Sea wind farm

Wind energy blows up storm of controversy in Mexico

U.S. extends wind energy taproots into Zambia

Kazakhstan inaugurates IAEA-backed nuclear fuel bank

2018 start for Russia-backed nuclear plant work:

Fukushima operator faces $5 bn US suit over 2011 disaster

UAE nuclear programme edges toward 2018 launch

Methane from tundra, ocean floor didn't spike during previous natural warming period

Research identifies new microbe with potential to help rebalance Earth's nitrogen cycle

Study gives first proof that the Earth has a natural thermostat

Incomplete drought recovery may be the new normal

Nanoparticles pollution rises 30 percent when flex-fuel cars switch from bio to fossil

New emissions test necessary for new vehicles in the EU

New liquid-metal membrane technology may help make hydrogen fuel cell vehicles viable

Uber to resume Philippine service 'soon' after fine

Iraq fighters take 'victory selfies' at Tal Afar citadel

IS evacuation deal sparks Iraqi outrage

Iraqi forces poised for victory over IS in Tal Afar

Keeping cool in combat: in Iraq the iceman cometh

Trump keeps Iran deal, but threatens more sanctions

S. Korea seeks rare talks with North to ease military tensions

US sending mixed messages on Iran nuclear deal: Zarif

US-China citizen gets 10 years for spying in Iran; 2 Iranians charged in US over hacking

Memory Foam Mattress Review
Newsletters :: SpaceDaily :: SpaceWar :: TerraDaily :: Energy Daily
XML Feeds :: Space News :: Earth News :: War News :: Solar Energy News

The content herein, unless otherwise known to be public domain, are Copyright 1995-2017 - Space Media Network. All websites are published in Australia and are solely subject to Australian law and governed by Fair Use principals for news reporting and research purposes. AFP, UPI and IANS news wire stories are copyright Agence France-Presse, United Press International and Indo-Asia News Service. ESA news reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. All articles labeled "by Staff Writers" include reports supplied to Space Media Network by industry news wires, PR agencies, corporate press officers and the like. Such articles are individually curated and edited by Space Media Network staff on the basis of the report's information value to our industry and professional readership. Advertising does not imply endorsement, agreement or approval of any opinions, statements or information provided by Space Media Network on any Web page published or hosted by Space Media Network. Privacy Statement