Libyan Oil Production Declines By 50% – OpEd – Eurasia Review
The Waha Company’s production declined by 50% to 145,000 barrels per day, after protesters at the Sidra port prevented oil tankers from entering for the second day in a row; This caused a reduction in the capacity of the port’s oil tanks. Oil production in Libya fell to 700,000 barrels per day in the second half of June, compared to 1,250 million barrels per day before implementing the closures of oil fields and ports by the protesters.
The average price of regular gasoline has topped $4 a gallon in recent weeks in the US, which is nearly 50% more than last year. Natural gas prices have also risen significantly, which has led to an increase in the cost of electricity and home heating.
Libya has retracted its plans to increase oil production to 1.5 million barrels per day in 2022, and this was confirmed by the head of the Libyan National Oil Corporation, Mustafa Sanalla, that the goals of the Libyan oil sector during this year are to maintain the production rates of one million and 200 thousand barrels recorded by the sector last year 2021. We find that Libya has plans to increase, but this is linked to the condition of availability of budgets and political stability.
And that the National Oil Corporation, during the financial crisis, had developed a plan to increase production to reach 1.5 million barrels in early May 2022, but found obstacles and difficulties in financing, as the plans were postponed.
Libya suffered during the financial crisis that year, as the inst....