Libya’s Zawiya Oil Refinery Halts Operations After Violent Clashes

Following armed clashes near the Zawiya oil refinery in western Libya, operations have been suspended due to significant damage and fires. The National Oil Corporation declared a force majeure, allowing it to avoid liability regarding oil delivery contracts. Emergency teams managed to control the fires, and fuel supplies to local markets are secured despite the unrest, which has resulted in casualties. The ongoing conflicts highlight the challenges Libya faces in stabilizing its oil production.

A significant oil refinery in western Libya has ceased operations following violent clashes on Sunday morning. According to the National Oil Corporation (NOC), the Zawiya refinery experienced substantial damage to its storage tanks due to gunfire, resulting in serious fires. Despite ongoing clashes, emergency services managed to control the situation without compromising fuel deliveries to local stations. The refinery, which has a capacity of over 120,000 barrels per day, is crucial for fuel supply in the region, and the declaration of ‘force majeure’ protects the NOC from liability regarding oil delivery contracts. Reports indicated at least one fatality and ten injuries amid the unrest, and educational institutions in Zawiya were closed in response to the violent outbreak. Although Libya has the largest hydrocarbon reserves in Africa, its oil production has fluctuated due to conflicts, but recent improvements in security have led to rising output levels.

Libya has faced continual turmoil since the 2011 uprising that dethroned longtime leader Moamer Kadhafi, resulting in ongoing clashes between armed factions vying for control. The Zawiya refinery, established in 1974, is the second largest in the country and plays an integral role in supplying fuel to the local market. The recent violence underscores the challenges faced by the country’s oil sector, which is paramount for its economy and stability. Despite past blockades and disruptions, oil production had seen a recovery to 1.4 million barrels per day due to improved security and investments, though the nation’s output potential remains constrained until stability is achieved.

In summary, the clashes near the Zawiya oil refinery have led to a significant operational halt, underscoring the precarious security situation in Libya. The National Oil Corporation’s declaration of force majeure demonstrates its commitment to managing such crises while ensuring fuel supply remains uninterrupted to local communities. As Libya endeavours toward greater oil production amidst ongoing challenges, addressing the underlying conflicts will be crucial for the sector’s future and the nation’s economic recovery.

Original Source: jordantimes.com