Force majeure reported on crude from Sharara, al-Feel and Hamada oilfields
Bloomberg and Reuters have reported that Libya’s National Oil Corporation (NOC) has declared force majeure on loadings of Sharara crude from the Zawiyya oil terminal due to a blockade on the oil pipeline between al-Sharara oilfield in south-west Libya and Zawiyya port, which has effectively halted oil production from al-Sharara since 20 August. The NOC has also reportedly declared force majeure on crude exports from Mellitah oil terminal due to the closure of al-Feel oil field in south-west Libya on 26 August. The 90,000 bpd al-Feel field closure comes as a result of the blockade on the al-Sharara pipeline to Zawiyya port, as the pipeline also transports al-Feel crude. On 26 August, Hamada oilfield, run by NOC subsidiary AGOCO, was also shut down due to the pipeline closure and force majeure has reportedly been called on production from the field. On 28 August, Reuters reported that Zawiyya’s 120,000 bpd refinery was operating at half its capacity due to the Sharara shutdown.