• 5 minutes Malaysia's Petronas vs. Sarawak Court Case - Will It End Up In London Courts?
  • 9 minutes Sell out now or hold on?
  • 16 minutes Oil prices going down
  • 1 min Oil prices going down
  • 6 hours When will oil demand start declining due to EVs?
  • 19 hours Two Koreas Agree To March Together At Asian Games
  • 7 hours Oil and Trade War
  • 9 hours Russia and Saudi Arabia to have a chat on oil during FIFA World Cup - report
  • 9 hours Sell out now or hold on?
  • 7 hours venezuala oil crisis
  • 5 hours Trump Hits China With Tariffs On $50 Billion Of Goods
  • 11 hours Correlation Between Oil Sweet Spots and Real Estate Hot Spots
  • 6 hours Germany Orders Daimler to Recall 774,000 Diesel Cars in Europe
  • 10 hours Malaysia's Petronas vs. Sarawak Court Case - Will It End Up In London Courts?
  • 4 hours What If Canada Had Wind and Not Oilsands?
  • 20 hours Geopolitical and Political Risks make their strong comeback to global oil and gas markets
  • 3 hours The Wonderful U.S. Oil Trade Deficit with Canada
  • 17 hours Trump Renews Attack On OPEC Ahead Of Group's Production Meeting
  • 5 hours After Three Decade Macedonia End Dispute With Greece, new name: the Republic of Northern Macedonia
The Fourth Industrial Revolution Is On The Horizon

The Fourth Industrial Revolution Is On The Horizon

The Fourth Industrial Revolution is…

Libya Is Preparing To Ramp Up Oil Production

Libya

As a rather bullish sentiment has fallen over the oil markets, Libyan oil production is now set to rise after disruptions at the Sharara oil field are now behind it, according to a new report by Bloomberg.

Total output will reach 950,000 barrels per day as the Organization of Petroleum Exporting Countries (OPEC) battles a supply glut to force an increase in global oil prices.

The Sharara field, the largest in the North African country, reached 230,000 bpd this week, according to an anonymous source that spoke to Bloomberg. In August, Libyan production had reached 1.05 million bpd, but weeks of unrest at major fields had since caused the growth to falter.

OPEC should approach Libya and Nigeria, the two exempted OPEC members who were allowed to continue raising their crude oil output despite the November 2016 deal, Iran’s Oil Minister Bijan Namdar Zanganeh told journalists earlier this week. The official said that OPEC members are compliant with their lower production quotas at an “acceptable” level, but rising supply from Libya and Nigeria is hampering the cartel’s efforts to rebalance the oil market.

“OPEC’s actions are working and compliance is acceptable overall, although there needs to be some change,” Zanganeh said, as quoted by Bloomberg. “Changes are really related to Libya and Nigeria and the 100 percent compliance of everyone.”

Related: Africa’s Richest Man: Oil Is Not The Way Forward

The African duo had been granted exemptions from the OPEC deal due to their own versions of domestic strife. Instability and active militant groups have caused output in both countries to drop significantly in the months and years leading up to the Vienna summit that forged the quotas now in implementation.

Libya and Nigeria have collectively added about 550,000 bpd since the original deal was agreed to last year. That amount has offset about half of the output reduced by the rest of OPEC­­; the group agreed to cut production by 1.2 million bpd.

By Zainab Calcuttawala for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment
  • Brandon on September 28 2017 said:
    Up until oil supply is relying on countries like Venezuela and Libya we can definitely retain the bullish mood up and running, no worries.
  • JustMeNS on September 28 2017 said:
    Preparing is one thing; achieving it is another. We have heard so much of this hype it is pointless to print. Libya is a war torn country that can disintegrate at any time and the oil will stop flowing.
    Slow news day requires nonsense headlines.

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News