Libya's NOC declares force majeure at Zawiya refinery after clashes

Key facts

• Libya's National Oil Corporation declared force majeure at the Zawiya refinery.
• The declaration follows clashes between armed groups near the facility.
• Storage tanks at the refinery were hit, causing fires.
• The Zawiya refinery has a capacity of 120,000 b/d.
• Production at the El Sharara oil field could be threatened by damage to the Zawiya complex.

Libya's state-owned National Oil Corporation (NOC) has declared force majeure at its 120,000 b/d Zawiya refinery due to clashes between armed groups near the facility. The refinery experienced fires after several storage tanks were hit, though these were subsequently brought under control.

The situation at Zawiya, Libya's largest operational refinery, could threaten production at the Repsol-led El Sharara oil field, which supplies crude to the refinery and for export. El Sharara crude exports averaged 160,000 b/d in November and are scheduled to remain at that level for December.

Libya's overall crude production was estimated at 1.24 million b/d in November. The country has a history of oil production disruptions due to political instability, with El Sharara itself having recently returned to production in early October after a prior outage.