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Libya's oilfield closures spread in standoff over central bank

Libya's oilfield closures spread out on Wednesday as the Sarir field nearly entirely stopped output, two field engineers told Reuters, in the middle of a political disagreement over control of the reserve bank and oil earnings.

Authorities in the east, where the majority of Libya's oilfields lie, declared on Monday that all production and exports would be halted.

Sarir has a production capability of about 209,000 barrels per day (bpd).

Force majeure had actually already been revealed on exports at the 300,000 bpd Sharara oilfield and today Reuters has actually reported disruptions at El Feel, Amal, Nafoora and Abu Attifel.

In July, Libya, an OPEC member, was producing about 1.18 million barrels of oil each day.

The move to turn off Libya's primary source of earnings is available in action to the Tripoli-based Presidency Council sacking Central Bank of Libya (CBL) chief Sadiq al-Kabir, triggering rival equipped factions to mobilise.

Prime Minister Abdulhamid al-Dbeibah, set up through a. U.N.-backed process in 2021 and head of the Tripoli-based. Federal Government of National Unity, stated this week that oilfields. should not be permitted to be shut under flimsy pretexts.

On Tuesday, U.S. Africa Command General Michael Langley. and Chargé d'Affaires Jeremy Berndt fulfilled Khalifa Haftar, the head. of a force called the Libyan National Army that controls the. country's east and south.

The United States prompts all Libyan stakeholders to engage. constructively in dialogue, with assistance from the United. Countries Assistance Objective in Libya (UNSMIL) and the international. community, the U.S. Embassy in Libya said on social media. platform X.

Oil prices were little bit altered on Wednesday. They rallied on. Monday partially due to the scheduled production stop in Libya.

(source: Reuters)