In a significant development amid Libya’s ongoing oil sector turmoil, protesters near Tripoli have extended their deadline to shut down two pivotal oil and gas facilities by 24 hours, aiming to allow for more time for negotiations with mediators.
This decision reflects the complex dynamics in Libya’s crucial oil industry, which has become a focal point for anti-corruption protests and political demands.
The initial 72-hour ultimatum, set to expire on Friday, targeted the Mellitah complex and the Zawiya refinery. Mellitah, a joint venture between the National Oil Corporation (NOC) and Italy’s Eni, plays a vital role in the gas supply between Libya and Italy via the Greenstream pipeline. Any disruption here could have significant repercussions for regional energy supplies.
Salem Mohammed, speaking for the “Anti-Corruption Movement,” indicated that while most of their demands were met during negotiations, the dismissal of NOC’s Head, Farhat Bengdara, remains unresolved. Mohammed warned, “if our core demands, including Bengdara’s removal, aren’t agreed upon, we will shut down Mellitah and Zawiya after Saturday afternoon.”
The Zawiya refinery, processing about 120,000 barrels per day (bpd), is linked to the Sharara oilfield, a major production site of 300,000 bpd. Recently, protesters in the southern Fezzan region forced the closure of the Sharara field, prompting the NOC to declare force majeure and halt crude supplies to Zawiya.
These events highlight the fragility of Libya’s oil infrastructure, often caught in the crosshairs of domestic political strife. The oil sector, being the lifeline of Libya’s economy, has frequently been targeted for protests and political leverage since the 2011 uprising that ended Moammar Gaddafi’s rule.
This latest extension for shutdown negotiations underscores the delicate balance between protesters’ demands and the country’s economic stability. Libya’s oil and gas sector not only fuels the national economy but also has significant implications for the Mediterranean energy market, especially with Europe’s current energy landscape.
This ongoing situation in Libya’s oil sector demands close monitoring, as it impacts not just the national economy but also the broader regional energy dynamics. The outcome of these negotiations could set a precedent for future interactions between the government, the NOC, and various protest groups.