The disruption on the Sharara-Zawiya crude oil pipeline caused a new setback to Libya’s energy infrastructure. Libya’s National Oil Corporation announced on Saturday that one of the refining units at the Zawiya Refinery had been shut down because a valve on the pipeline was kept closed.
The corporation said it made the decision to ensure that the refinery’s other unit could continue operating for as long as possible. According to the corporation’s statement, the valve was closed by the southwestern Petroleum Facilities Guard and armed groups affiliated with the Western Military Region.
Alternative shipments considered for power plants
Libya’s National Oil Corporation is considering shipments through either the ports of Mellitah or Sidra to maintain the flow of crude oil to the Zawiya Refinery.
The plan aims to prevent potential disruptions to fuel supplies for power-generation facilities, particularly the West Tripoli and Al-Kharsa power plants west of Tripoli. The two plants consume approximately 5,200 cubic meters of fuel per day.
Disruption caused loss of more than 720,000 barrels in output
The corporation warned that Libya’s overall oil revenues would be directly affected if the obstruction of crude oil flows through the main pipeline continued. The statement said a prolonged disruption could increase the fuel import bill and harm Libya’s economy.
The crisis began after an armed group was reported to have closed valve No. 7 on the pipeline running from the Sharara field to Zawiya Port on September 21. A major decline in production at the field followed, and the authorities announced that force majeure could be declared if the disruption continued.
The Sharara field, located in Libya’s southwestern Murzuq Desert, is considered one of the country’s most important oil fields. It has an estimated production capacity of approximately 340,000 barrels per day.
In a statement issued on September 25, Libya’s National Oil Corporation said the disruption on the Sharara-Zawiya pipeline had caused the loss of more than 720,000 barrels of production and direct losses exceeding $75 million in four days.
The corporation had previously warned that keeping the pipeline closed could disrupt production at Sharara, the transportation of crude oil and exports. The statement also said the disruption could halt operations at the Zawiya Refinery and increase fuel import costs.