TRIPOLI: Libya’s internationally recognized government said it had allocated $1.06 billion (1.5 billion Libyan dinars) for the National Oil Corporation (NOC) to maintain oil production in 2019-2020, according to a resolution shared with journalists on Saturday.
The resolution said 1.2 billion dinars was allocated “for projects that contribute in maintenance of current production rates and increase the productive capacity of the oil and gas sector.” A further 300 million was allocated for pay the NOC’s obligations to other companies.
The resolution stated that the Central Bank deposit the sum in “an emergency account” for the NOC to spend as planned.
It also said the money would be drawn from fees imposed since 2018 on sales of foreign exchange, in a bid to end the gap between the official and parallel foreign exchange markets.
Libya’s current oil production is around 1.3 million barrels per day.
The NOC has frequently complained in the past that it was not receiving sufficient funding from the Tripoli-based Government of National Accord (GNA).
Last week it said in a statement that production was expected to be severely affected if it did not get the budget funding it needed from the government.
The NOC also said the government “reduced the approved budget of the Corporation and its companies twice” this year without prior notice.
OPEC member Libya’s oil production has fluctuated sharply in recent years due to attacks, protests and political conflict in the turmoil following the country’s 2011 uprising.
The country has been split since 2014 between rival camps based in Tripoli and the east, though the NOC in Tripoli has continued to control oil production, with revenues flowing through the central bank in the capital.
Tripoli government gives Libya’s NOC $1 billion in funding
Tripoli government gives Libya’s NOC $1 billion in funding
- Amount to be utilized to maintain oil production in 2019-2020
- Libya’s current oil production is around 1.3 million barrels per day
QatarEnergy announces force majeure following Iran attacks: statement
DOHA: Qatar’s state-run energy firm on Wednesday declared force majeure following attacks on two of its main facilities that halted liquefied natural gas production and as Iran pressed missile and drone attacks across the Gulf.
“Further to the announcement by QatarEnergy to stop production of liquefied natural gas and associated products, QatarEnergy has declared Force Majeure to its affected buyers,” the company said in a statement.
QatarEnergy invoked the clause, which shields it from penalties and potential breach of contract claims from clients, after stopping LNG production on Monday.
Iranian drones attacked two of the company’s main production hubs in Ras Laffan Industrial City, 80 km north of Doha and in Mesaieed 40 km south of the Qatari capital, Doha’s ministry of defense said at the time.
The Gulf state is one of the world’s top liquefied natural gas producers, alongside the US, Australia and Russia.
On Tuesday, QatarEnergy said it would halt some downstream production of some products including urea, polymers, methanol, aluminum and others.
Qatar shares the world’s largest natural gas reservoir with Iran.
QatarEnergy estimates the Gulf state’s portion of the reservoir, the North Field, holds about 10 percent of the world’s known natural gas reserves.
In recent years, Qatar has inked a series of long-term LNG deals with France’s Total, Britain’s Shell, India’s Petronet, China’s Sinopec and Italy’s Eni, among others.
