Libya Oilfields Resume Production After Brief Shutdown

Libya's two small oilfields have resumed production after a brief shutdown earlier this week. According to Sina Finance, National Oil Corporation Chairman Masoud Suleman said on Wednesday that the valves had been reopened and output had returned to normal levels. He said he did not expect another shutdown. The Petroleum Facilities Guard, which secures Libya's oilfields, pipelines, and terminals, had closed the valve on the Hamada-Zawiya main pipeline on Tuesday, halting production at the Hamada oilfield, the Tahara oilfield, and the NC5 pumping station. The National Oil Corporation had previously warned that it could declare force majeure if the supply disruption continued or spread to other facilities. Data showed that the OPEC member produced about 1.34 million barrels of crude oil per day in August. After other armed units in the guard received pay increases, the unit also demanded higher wages and threatened to cut output at several large oilfields, including Sharara, El Feel, and Wafa, until a full shutdown if its demands were not met. It was not immediately clear what agreement led to the valve reopening, and it could not be confirmed whether the guard's demands were satisfied.