The Libyan Ministry of Oil and Gas has expressed its concern over the recent closure of several oil fields in the country. The ministry said it is “aware of the serious consequences of these closures, which could affect the oil sector in particular, and the Libyan economy as a whole.”
In June, the Minister of Oil and Gas, Mohamed Aoun, emphasised that the Libyan people would be the first to be affected by any calls to stop oil production
“The negative impact of such a shutdown will not be easy, given that we currently produce a large quantity of oil, 1.2 million barrels per day, of which around 150,000-160,000 barrels are refined domestically. Thus, the loss to the Libyan economy will be greater than to the importers from abroad,” he said.
Aoun warned that a shutdown would also affect gas production, which in turn would impact power stations and electricity supply.
The minister also expressed his concern over the repeated threats to halt oil production, as this would cause anxiety among importers, even those from friendly countries. He stressed that the suspension of such a strategic commodity as oil and gas, which are the main sources of income for Libya, could lead to the loss of confidence in the country’s ability to honour its commitments, resulting in a loss of revenue.
Furthermore, Aoun highlighted the cost of shutting down and restarting oil production, which requires maintenance to address technical problems related to extraction and pipeline refining. This would be a significant financial burden on the state treasury.
He called for the neutrality of production and export from any disputes related to revenue distribution. He affirmed the need to ensure a steady flow of revenue by maintaining oil production, and should not be tampered with.
On Thursday, the British Embassy in Libya urged all Libyan parties to refrain from any actions that could further escalate the situation, including shutting down oil fields, and prioritise the welfare of the Libyan people instead.
In a statement, the embassy expressed deep concern over reports of arbitrary arrests in Libya. In a tweet, it emphasised the crucial importance of protecting the fundamental rights of citizens.
The United Nations Support Mission in Libya (UNSMIL) condemned the ongoing trend of kidnappings, arbitrary detentions, and forced disappearances of citizens and public figures at the hands of various security forces within the country.
In its statement, the mission said, “UNSMIL is deeply disturbed by the continued instances of abductions, arbitrary arrests, and forced disappearances of citizens and public figures at the hands of various security entities in Libya.”