On Wednesday, Libyan Oil Minister, Mohamed Aoun stated that there is no specific date for the resumption of oil exports, and that the matter “depends on the results of negotiations with those who closed the oil fields.”
“The committee formed by the Libyan Oil Ministry is working on preparing a comprehensive report to account for the total losses resulting from the oil closure,” Aoun added.
He pointed out that “the main valves that pump the oil are closed, and there is no possibility to export any quantity at present. The resumption of Libyan oil exports will take place after communicating with those who closed the oil facilities and discussing their requests. We hope to agree soon on reopening the closed facilities.”
However, the Libyan oil ministry said in a statement that the closed oil fields will reopen within days. This comes after protesters closed vital fields in the east of the country.
Aoun met tribal leaders and discussed the closures. These have caused Libya’s daily output to fall by around 550,000 barrels.
The statement added that they are in the process of reaching a final agreement, that would put an end to the recent closures.
Aoun claimed daily losses amount to between $50-70 million dollars a day, due to the closure of a number of oil fields.
“We formed a committee to prepare a detailed report on the effects of closing oil fields on the local economy, and the lives of individuals,” he said. Aoun pointed out that Libya is excluded from the “OPEC +” production agreement, and has not yet reached the specified quotas.
Notably, the US Embassy in Libya stated that they remain “deeply concerned by the continued oil shutdown, which is depriving Libyans of substantial revenue, contributing to increasing prices.”
It called on responsible leaders to “recognize that the shutdown harms Libyans throughout the country, and has repercussions across the global economy.”