Libya’s key oilfield Sharara closed late on Sunday over salary payouts

A view of the Sharara oilfield in Libya. Pumping from the country’s biggest oil field

Libya’s giant Sharara oil field has been closed since late on Sunday, shutting off the production of more than 230,000 barrels per day (bpd), an engineer at the field and a Libyan oil source said.

Libya’s National Oil Corporation (NOC) said in a statement on Monday that it was “working towards a swift restart of production. At this moment, there are no plans to declare force majeure.”

They did not disclose the reason for the shutdown but a trading source said it was linked to a protest over salary demands.

The engineer said Sharara was pumping some 236,000 bpd before the latest shutdown.

Libya is exempt from OPEC-led oil production cuts, and the North African country’s revival has complicated the bloc’s efforts to bolster global prices.

Libya was producing more than 1.6 million bpd before a 2011 uprising led to a political and armed conflict that badly disrupted its oil industry.

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