Chairman of Libya’s state-run National Oil Co. (NOC), Mustafa Sanalla, said that the country’s crude oil production still would take a long way to get back into its original level of 1.22 million bpd prior to blockades since January.
According to Sanalla, the six-month halt has cost Libya USD6.5 billion in revenue, along with severe damage to oil facilities all over the country.
The country’s 160 wells out of 264 require restoration which would cost between USD170,000-400,000 each, which is a total estimation of USD105 million.
Roughly 4,300 km of pipeline in Libya has been impaired. At the Ras Lanuf and Es Sider terminals, only 12 out of 35 storage tanks are operational. 21 among them are completely damaged.
Analysts estimated the country’s production to slump to merely USD80,000 bpd in the second quarter, way below the average of 1.1 million bpd in December.
Previously on June 20, NOC has instructed the resumption of oil activities for all operating companies in the country, pending the lifting of blockades at eastern oil terminals.
However, force majeure restrictions are still remaining at Es Sider, Marsa el-Hariga, Marsa el-Brega, and Ras Lanuf.
