More than $1 Billion lost due to closure of Sharara oil field the last 41 days

Alwasat - Cairo Thu 24 Jan 2019, 11:07 PM
alwasat radio

An official in the marketing department of the National Oil Corporation said that the initial results of the Sharara oil field closure has caused losses of more than one billion dollars since the cessation of production 41 days ago.

The source pointed out in a statement to Alwasat that "the security situation has not been resolved and there are no alternative plans to insurance the field so far."

Sharara oil field (the largest in Libya) had been exposed to six security breaches and armed robberies in recent weeks, while workers have been threatedn and forced to stop production by under threat of arms, according to the National Oil Corporation.

The organization announced a state of force majeure in December 2018, which led to a sharp decline in Libya's production of oil last month.

The declaration of force majeure is legal clause in oil sales, exempting the seller from liability in circumstances beyond their control.

Related Topics