Islamist Attack Libya’s Largest Oil Terminal
Libyan oil production has
fallen below 300,000 barrels a day after Islamist militants shifted attacks to
energy facilities including the country’s largest oil export terminal.
Output is the lowest since May
and down at least 65 percent from a recent high of
850,000 barrels a day in October following the assault on the Es Sider terminal, according to the Energy Aspects
estimate. Libya holds Africa’s largest oil reserves.
The fighting last week marked
a turning point in the unrest that followed Muammar Qaddafi’s 42-year rule. All
the factions, including the Islamist militia coalition known as Libya Dawn, had
committed to spare the energy industry that provides 80 percent
of public spending.
Market Reaction
The extended fighting helped
bring a temporary halt to the slump in prices. Brent crude rose as much as 98
cents on 28 December to $60.43 a barrel before settling down 2.6 percent at $57.88, the lowest since May 2009. The global benchmark
lost 9 cents to $57.79 a barrel on the London-based ICE Futures Europe
exchange.