Maintenance to cost Libya loss of oil sales opportunities worth $165 million
The National Oil Corporation (NOC) said Sunday that Waha Oil Company would start the necessary repair of the main crude oil pipeline connecting Samah, Dahra fields to Esseder Terminal, thus its production would be reduced by 200,000 barrels per day, saying that the pipeline is in a situation that can not continue operating due to the large number of leaks and its dilapidated condition because of lack of budgets that guarantee the integrity of the NOC's assets.
NOC added in a statement that the lack of budgets to maintain the assets of the NOC has led to reducing oil production, adding that this is the responsibility of the parties that obstruct the monetization of budgets, which will cost the Treasury the loss of sales opportunities in excess of $165 million.
"Repair teams have been equipped to carry out this work on an ongoing basis in order to reduce the suspension period and the works are expected to last for two weeks. The NOC is keen to coordinate with the operator Waha Oil Company by reducing the period to 7-10 days as a sign of our confidence in the repair teams and their technical ability to operate in a fast-track method." NOC added.
The NOC expressed its deep regret over what happened to the infrastructure of the national oil sector, strongly calling for dealing with the livelihood of Libyans responsibly, and for delivering the required budget on time and on a regular basis, saying, otherwise, the situation will worsen and may lead to a halt in production in other locations.