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Libyan Refinery Fire Leads to Force Majeure Declaration

by Krystal

A series of fires at Libya’s Zawiya refinery over the weekend led to the National Oil Corporation (NOC) declaring a temporary force majeure on Sunday. The fires, sparked by gunfire, were reportedly brought under control by Monday morning, though the force majeure remained in place, according to a Reuters report citing an NOC official.

The incident occurred when gunfire ignited multiple oil tanks at the Zawiya refinery, Libya’s largest, which has a daily processing capacity of 120,000 barrels. The NOC explained that the fires resulted from “armed clashes using light and medium weapons” near the refinery.

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The NOC has urged the Libyan government to end the armed conflicts, warning that continued violence could lead to further damage and even loss of life at the facility. Details regarding the groups involved in the clashes have not been disclosed.

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Just a month ago, the NOC reported a significant increase in Libya’s oil production, reaching 1.386 million barrels per day (bpd), with total output rising to 1.59 million bpd when including other liquid hydrocarbons. This achievement marked a major milestone for the country, which has been struggling to recover from years of conflict.

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Libya’s oil production had been disrupted earlier this year due to political disputes and blockades at key oil fields. However, the resumption of full-scale operations in early October allowed the country to gradually increase output by restoring its largest fields to full capacity.

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Despite recent gains, the fires at Zawiya highlight the ongoing challenges facing Libya’s oil industry. Political tensions continue to pose risks to stability, with potential for further disruptions. However, the return of major international oil companies such as Eni and BP offers hope for continued progress in securing the country’s oil production.

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