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19 Jan 2020 | 16:04 UTC — Dubai
By Dania Saadi and Eklavya Gupte
Highlights
Sharara, El Feel among fields affected by pumping station shutdown
Both fields can produce around 400,000 b/d
LNA threatening Libya's oil industry at start of peace talks in Berlin
Dubai — Libya's oil production from key southern fields that produce close to 400,000 b/d has been curtailed by the Libyan National Army, threatening exports from the country's main terminal a day after its national oil company declared force majeure due to a blockade on two-thirds of its output.
State-run National Oil Corp. said in a statement Sunday that oil production from Sharara, the country's biggest field, and El Feel, or Elephant, in the southwest of the country had been impacted by the shutdown of a pumping station.
"NOC confirms that individuals from the Petroleum Facilities Guard under the command of the LNA General Command have shut down the Hamada-Zawiya oil pipeline, forcing the corporation to limit oil production at the Sharara and El Feel oil fields," the company said.
"The Hamada station hosts pipelines for Mellitah Oil Company and Akakus, the operators at El Feel and Sharara respectively."
Libya declared force majeure on oil exports from five key export terminals on Saturday as the LNA began a blockade, threatening to shut down two-thirds of the country's estimated 1.2 million b/d of production.
The two moves come as the UN-backed Government of National Accord, LNA and leaders from several countries meet at a conference in Berlin aimed to resolve the conflict between the two warring parties that has been raging since April.
NOC operates Sharara in partnership with Spain's Repsol, France's Total, Austria's OMV and Norway's Equinor. The field produces some 300,000 b/d
El Feel, which produces around to 90,000 b/d, is operated by Mellitah Oil and Gas Company, a joint venture between NOC and Italy's Eni. Crude from El Feel and the nearby Sharara field is also pumped to the 120,000 b/d Zawiya refinery and export terminal in northwest Libya