Oil production in Libya has been restored to 1.3 million barrels per day (bpd) following the resolution of a political dispute over the Libyan central bank’s next governor.
In late August, the administrations in the eastern and western parts of the country came into conflict over who should be appointed. The central bank receives the revenues from oil production, so the position is politically sensitive.
Eastern Libya’s government, which is based in Benghazi, imposed a force majeure on all oil facilities and export terminals, effectively bringing oil production to a virtual standstill.
After the United Nations facilitated talks, an agreement was reached over electing a new leader for the central bank, enabling production to restart in early October. It went on to reach 1.2 million bpd, before continuing to produce the level prior to the dispute.
In a post on its website, the National Oil Corporation (NOC) of Libya stated:
“The production rates over the past 24 hours recorded 1,305,059 barrels of crude oil and condensates, along with 209,405 barrels of gas equivalent. Efforts are still ongoing to increase production levels.”
TotalEnergies, which makes the Total coolant and metalworking range, has been active in Libya for 70 years, with it exploring both onshore and offshore. In 2022, it increased its interest in the Waha concession and reaffirmed its commitment to helping the NOC restore oil production in the country. It also aims to reduce flaring, so the gas could instead be used to fuel power plants.
