Complex Made Simple

Libya sticks to plans to boost output by 50 per cent after OPEC deal

* Libya was exempted from OPEC cuts this week

* Country aims to go from 600,000 bpd to 900,000 bpd in near future

* Increase depends on lifting blockade at pipelines serving western fields of El Feel and Sharara

 

Libya, which was exempt from OPEC production cuts this week, is sticking with plans to raise output in the near future by 50 per cent, state-owned National Oil Corporation (NOC) said on Friday.

 

(Libya won’t take part in any OPEC cuts for ‘foreseeable future’)

 

Double it

“Currently our production is 600,000 barrels per day. We aim to double that. We think we will get to 900,000 barrels” in the near future, NOC Chairman Mustafa Sanalla said at a conference in Rome on Friday.

The increase depends on lifting a blockade at pipelines serving the western fields of El Feel and Sharara.

 

(OPEC deal: Producers agree to oil output cut, first since 2008)

 

Libyan oil officials told Reuters that while talks with local tribes blocking the pipelines were moving forward, there was no clear indication yet when the oil will flow again.

Libya was exempt from a deal the Organization of the Petroleum Exporting Countries reached this week to curtail its collective output to 32.5 million bpd.

Under the deal, OPEC used a conservative figure of 351,000 bpd as a “reference production level” for Libya, well below its October production level of 528,000 bpd in the most recent monthly OPEC report.

 

(2016 OPEC deal: How we got here)