• 4 minutes China 2019 - Orwell was 35 years out
  • 7 minutes Wonders of US Shale: US Shale Benefits: The U.S. leads global petroleum and natural gas production with record growth in 2018
  • 11 minutes Trump will capitulate on the trade war
  • 14 minutes Glory to Hong Kong
  • 5 hours Here's your favourite girl, Tom!
  • 6 hours China's Blueprint For Global Power
  • 5 hours Peaceful demonstration in Hong Kong again thwarted by brutality of police
  • 6 hours Brexit agreement
  • 10 hours Australian Hydroelectric Plant Cost Overruns
  • 14 hours Yesterday Angela Merkel stopped Trump technology war on China – the moral of the story is do not eavesdrop on ladies with high ethical standards
  • 13 hours IMO 2020:
  • 2 hours Nigeria Demands $62B from Oil Majors
  • 23 hours The Ultimate Heresy: Technology Can't Fix What's Broken
  • 6 hours 5 Tweets That Change The World?
  • 5 hours Bloomberg: shale slowing. Third wave of shale coming.
  • 1 hour ABC of Brexit, economy wise, where to find sites, links to articles ?
  • 9 hours The Problem Is The Economy, Not The Climate
Are Sci-Fi Energy Sources Even Possible?

Are Sci-Fi Energy Sources Even Possible?

There are some wild and…

The Only Hope For Oil Markets

The Only Hope For Oil Markets

While WTI was trending higher…

Oil Producer In Libya: It’s A Day-To-Day Struggle To Keep Pumping

Libya

Continued clashes in Libya and an escalation of hostilities could threaten the oil production of Wintershall Dea in the North African country, Mario Mehren, the chief executive of the European oil and gas group, told Russian agency TASS in an interview, echoing analyst comments that Libya could be the next sudden supply outage on the global market.  

Wintershall Dea’s offshore production is not exposed to risks from fighting on the ground, but the onshore production, the main output for the company in Libya and for the country, could come under threat in case the situation worsens, Mehren said.  

Wintershall Dea pumps just over 50,000 bpd onshore, Mehren said, but warned “It is a day-to-day struggle and we do not know how long we can keep that production up under the given the circumstances.” 

Wintershall Dea’s production capacity in Libya is 80,000 bpd, but output has been restricted and intermittent since the summer of 2013 due to the often tense situation in the country, the company says, noting that “the continued tension in the country affects our operations.”

While the oil market is fixated on the U.S.-China trade war for signs of demand, and on Iran, Venezuela, and the Middle East for signs of more supply disruptions, investors have not fully priced in the increased risk that Libya’s fighting could result in a serious oil supply outage, analysts said last month.

Related: Small Crude Build Sends Oil Lower 

The security situation in Libya has materially worsened this spring after eastern strongman General Khalifa Haftar ordered in early April his Libyan National Army (LNA) to march on the capital Tripoli. The self-styled army has been clashing with troops of the UN-backed government in a renewed confrontation that could escalate and threaten to disrupt, once again, Libya’s oil production and exports.

Libya’s National Oil Corporation (NOC), the internationally recognized state oil company, started to warn as early as in April that hostilities could threaten production, and this time, the situation could be worse than at the start of the civil war in 2011.    

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play