Libya’s oil output soaring despite latest shutdown of key oilfield, Bloomberg reports
PetroChina Co. agreed to an annual contract to buy Libyan crude after similar deals by oil majors like Royal Dutch Shell Plc and BP Plc, underscoring a recovery in the North African country’s production even as its political uncertainty persists.
Production from Mellitah Oil & Gas B.V., the venture that operates El-Feel — also known as Elephant, dropped to 25,000 barrels a day from 75,000 barrels a day after a protest by security guards closed the deposit. Crude loadings at Mellitah, the Mediterranean export terminal for El-Feel, will be “modified” after force majeure was declared for deliveries from the field on Feb. 23, the state-run NOC said in a document obtained by Bloomberg. Force majeure is a legal status protecting a party from liability if it can’t fulfill a contract for reasons beyond its control.
Mellitah was set to load four cargoes this month, each holding about 600,000 barrels, according to a loading program seen by Bloomberg. One vessel was scheduled to be loaded Feb. 21 to Feb. 23. The NOC didn’t specify what the modifications would be to the loading program.