Amid an escalation of fighting between rival forces for the capital Tripoli, losses from a protracted blockade of Libya’s vital oil files and ports have surpassed $4 billion, the country’s national oil corporation said Tuesday,
Powerful tribes loyal to Libya’s eastern-based forces seized large export terminals and choked off major pipelines in January, aiming to starve the Tripoli-based government of crucial revenues.
The National Oil Corporation, which dominates Libya’s critical oil industry, said Tuesday the losses from the oil blockade have exceeded $4 billion since Jan. 17.
“All areas of life, the national infrastructure and all Libyans, including men, women and children, are affected by this heavy loss. This will add to their suffering,” said Mustafa Sanalla, head of the NOC.
He called for lifting the closure, saying if the corporation resumes production, Libya “may be able to stop the collapse of its economy.”
Oil, the lifeline of Libya’s economy, has long been a key factor in the civil war, as rival authorities jostle for control of oil fields and state revenue. Libya has the ninth largest known oil reserves in the world and the largest oil reserves in Africa.
