5 reasons why libya is producing a fifth of the oil it did 4 years ago
Libya has seen oil production decline following the revolution of 2011 to a current level between 250-400k barrels a day. Many of the oil ports and oil fields are closed and not exporting. The question is why. Here are 5 reason:
1. Sporadic labor related protests: The oil wells in Libya are distributed across 6 oil basins onshore and 1 offshore (Sirte Basin, Kufra Basin, Cyrenaica Basin, Murzuk Basin, Ghadames Basin, and Tripolitania Basin). The combination of high unemployment and perceptions of bias to certain groups, has led to a surge in strikes across many oil fields, which have slowed or prevented operations and blocked crews from maintaining the fields. The National Oil Company (NOC) has engaged with local groups and tribal leaders to try to stop the stoppages, however negotiations are generally protected and settlements can quickly be overturned by factions within a group of strikers/protestors.
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