Libya's Oil Fields Halted: The Petroleum Facilities Guard Standoff

Libya's National Oil Corporation has halted operations at three oil fields due to closure by the Petroleum Facilities Guard. The closure affects the Hamada-Zawiya crude-loading pipeline and could lead to a force majeure declaration. Libya's oil output has faced numerous disruptions since 2011.

Libya's National Oil Corporation announced on Tuesday the suspension of operations at three oil fields due to intervention by the Petroleum Facilities Guard. This closure comes after the Guard shut a valve in the main Hamada-Zawiya crude-loading pipeline.

The disruption poses a significant threat to Libya's oil production, which has already suffered numerous shutdowns driven by both political and technical challenges post-2011 uprising against the regime of Muammar Gaddafi.

Officials warn that if this situation persists, or if further shutdowns are forced upon other fields, they may have no option but to declare force majeure, exacerbating the country's economic woes by impacting oil revenues further.