In light of the situation, Sirte Oil Company, Harouge Oil Operations, Waha Oil Company, Zueitina Oil Company and Arab Gulf Oil Company (AGOCO) received instructions to stop their oil exports from Libyan ports.
According to the Libya’s state National Oil Corporation (NOC), Es Sider, Ras Lanuf, Marsa El Brega, Zuetina and Marsa El Hariga terminals are closed and under force majeure.
For the shutdown of oil exports, NOC blamed the Khalifa Hafter-led Libyan National Army (LNA), claiming that the blockade instructions were given by Major General Nagi al-Moghrabi, the commander of PFG appointed by the LNA and Colonel Ali al-Jilani from the LNA’s Greater Sirte Operations Room.
Crude oil production rates are being reduced where possible to avoid a total shut down of production. Shutdown of all affected oil fields will result in a loss of crude oil production of 1.2 million b/d and daily financial losses of approximately $77 million.
...NOC stated.
Meaning that the closure of Libya's "oil crescent" will impact the country's daily crude oil production to plunge from 1.3 million barrels to 500.000 barrels and cause losses of $55m a day.
Credit:
Twitter/ U.S. Embassy - Libya
According to Bloomberg, the U.S. embassy in Libya called for an immediate reopening of oil production, pressuring Khalifa Haftar to put an end to the North African country’s civil conflict. At the same time, Khalifa Haftar ignores international calls to seek a negotiated political settlement to the civil war.
