UNSMIL Voices Concern over Threats to Oil Production in Libya


On Thursday, the United Nations Support Mission in Libya (UNSMIL) voiced its concern regarding the recent shutdown in oil production at Marsa Al-Hariga, claiming that other shutdowns may be imminent.

In a statement, the mission said that the uninterrupted production of oil, as well as maintaining the independence and impartiality of the NOC remains a vital cornerstone to the economic, social, and political stability of Libya.

UNSMIL called on all parties to ensure that the NOC remains an independent, technocratic, well-resourced institution, and to ensure the transparent and equitable management of resources to combat corruption.

“This is of critical importance for the Government of National Unity (GNU), which is responsible for the delivery of improved basic services to the Libyan people,” it noted.

The mission said that Libya is only now emerging from a very costly conflict, and there are multiple urgent needs that must be addressed to improve the quality of life.

Notably, the NOC declared force majeure on crude exports out of Marsa Al-Hariga terminal, as production from its key eastern fields is set to fall due to a budget row. This came after NOC subsidiary Arabian Gulf Oil Co. (AGOCO), had halted output at some of its fields due to the government’s failure to provide funding since September. The state-owned company said this was “a result of the Central Bank of Libya’s (CBL) refusal to liquidate the oil sector budget for months.”

The North African producer pumped 1.19 million bpd in March, its highest since June 2013, according to the monthly S&P Global Platts OPEC survey.