Libya oil output falls at two fields after pipeline valve shut, NOC chief says

An oil pipeline valve from ​Libya's Hamada and Tahara oilfields to Zawiya ​port has been shut, leading to ‌a reduction ​in production at both fields, the head of the National Oil Corporation told Reuters on Thursday.

NOC said in a statement ‌that individuals entered the crude oil receiving station near the Zawiya refinery and closed the pipeline valve. The pipeline belongs to the Arabian Gulf Oil Company, the statement said. AGOCO is an NOC subsidiary.

Tahara ‌and Hamada oilfields are both located in the Ghadames basin in northwestern Libya. "The continuation of ‌this shutdown will lead to the loss of volumes of crude oil production, which will negatively impact production rates," NOC said in the statement.

The Tahara oilfield reopened in 2022 with a production rate of 2,500 barrels per ⁠day ​and an expectation of ⁠reaching 40,000 bpd, according to NOC's website. Under stable operating conditions, the Hamada field produces 50,000 bpd, 10,000 bcpd, and ⁠90 million cubic feet of natural gas per day, according to a 2021 NOC statement.

Libya's oil output ​remains at around 1.4 million barrels per day. Libyan oil output has been subject to ⁠repeated closures for political and technical reasons since the 2011 uprising against Muammar Gaddafi.

Oil production is Libya's main economic source, ⁠accounting for ​about 90% of state revenues. In September, an armed group closed valve 7 on the Sharara crude pipeline to the port of Zawiya, sharply reducing output at the oilfield.

Sharara is ⁠one of Libya's largest production areas with a capacity of between 300,000 and 320,000 barrels per ⁠day. NOC urged the ⁠relevant authorities "to intervene immediately to reopen the valve and secure the site," so the technical operations can be resumed.