Oil becomes the key battleground in Libya’s civil war. (Mentioned by Andrew Fawthrop 18 Feb 2020) Blockades on crucial oil and gas infrastructure in the country since mid-January have sent crude output plummeting more than 80% in just

The discovery of oil

With the discovery of significant oil reserves in 1959, libya changed abruptly from being dependent on international aid and the rent from u.s. and british air bases to being an oil-rich monarchy. major petroleum deposits in both tripolitania and cyrenaica ensured the country income on a vast scale. the discovery was followed by an enormous expansion in all government services, massive construction projects, and a corresponding rise in the economic standard and the cost of living.

Oil becomes the key battleground in libya’s civil war. Blockades on crucial oil and gas infrastructure in the country since mid-january have sent crude output plummeting more than 80% in just weeks.. (mentioned by andrew fawthrop 18 feb 2020)

Nine years have passed since revolution in Libya toppled former leader Muammar Gaddafi – but political power struggles, in which oil has become the key bargaining chip, have now left the country on the brink of financial crisis.

• Nine years have passed since revolution in Libya toppled former leader Muammar Gaddafi – but political power struggles, in which oil has become the key bargaining chip, have now left the country on the brink of financial crisis.
• That was the warning recently issued by Prime Minister Fayez al-Serraj, whose fight against the commander of the Libyan National Army (LNA) Khalifa Haftar has escalated since last April to a point where oil production in the country has fallen more than 80% in a matter of weeks.
• It is the result of a series of blockades instigated by the military leader across Libya’s key oil and gas transport and production infrastructure, severely hampering industrial activity in a bid to coerce the government into meeting his demands.

The state-run national oil corporation (noc) has confirmed that in early february, domestic crude output dropped to as low as 163,000 barrels per day (bpd) – adding that this figure could soon fall further to 72,000 bpd if the stand-off continues. To put that into context, oil production before the blockades began a month ago (18 january) was upwards of 1.1 million bpd.

• The state-run national oil corporation (noc) has confirmed that in early february, domestic crude output dropped to as low as 163,000 barrels per day (bpd) – adding that this figure could soon fall further to 72,000 bpd if the stand-off continues. To put that into context, oil production before the blockades began a month ago (18 january) was upwards of 1.1 million bpd.
• Prime minister al-serraj has cautioned that the economic impact of the disruption – which has now caused more than $1.4bn in lost revenue according to the noc – is putting the country’s financial security at risk.according to the reuters news agency, he said: “we warned against using oil as a pressure card. certainly, in light of the continued closure of oil facilities, the 2020 budget will face a deficit and will drop to its lowest levels.