Dubai — Libya’s state-owned National Oil Corp. said Oct. 26 it lifted force majeure on the 70,000 b/d El Feel, or Elephant, oil field as the OPEC producer seeks to almost double output to over 1 million b/d within four weeks following the signing of a UN-mediated permanent truce deal between two warring factions in the country.

This is the last force majeure to be lifted, heralding the end of closures at all oil fields and ports, NOC said in a statement. Production at El Feel will return to “normal levels” in the coming days, it added.

Oil prices slip on potential Libyan output return, demand concerns- oil and gas 360

Source: CNBC

Libya’s crude oil production is expected to almost double, NOC said Oct. 23, after the UN said in a statement the country’s two factions — the UN-backed Government of National Accord and the self-styled Libyan National Army — signed “a permanent ceasefire in all areas of Libya .” The deal was signed in Geneva, Switzerland with representatives of the GNA and LNA present.

The North African oil producer has been wracked by conflict between the GNA and LNA for almost two years. The oil sector was squeezed by the conflict, especially in 2020

Nine-month blockade

On Jan. 18, eastern tribes, supported by the LNA, halted exports from five key oil terminals, which reduced the country’s crude production to the lowest since the 2011 civil war. Libya ‘s oil production had fallen to as low as 70,000 b/d in recent months from around 1.1 million b/d before the blockade in January.

NOC also said Oct. 23 it lifted force majeure on crude loadings out of the 300,000 b/d Es Sider and 250,000 b/d Ras Lanuf terminals paving the way for the full restart of the country’s total production of 1.2 million b/d.

These two ports had remained closed as NOC had previously refused to reopen them due to the presence of armed groups there

“Production is expected to reach 800,000 b/d in two weeks and it will exceed 1 million b/d within four weeks,” NOC said Oct. 23.

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