LIBYA RETAKES OIL
PLATTS - The Libyan National Army has retaken the key eastern oil terminals of Ras Lanuf and Es Sider that shut 450,000 b/d of crude production, the head of the state-owned National Oil Corp. said Friday.
NOC Chairman Mustafa Sanalla disputed statements by militia leader Ibrahim Jadhran that the facilities were still under attack.
"He tried to have legitimacy and we will not give him any legitimacy," Sanalla told reporters before the OPEC meeting.
Sanalla said 450,000 b/d of Libyan production has been offline for "eight or nine days," and he hoped it would restart in a "couple of days." Libyan output was 950,000 b/d in May, before the armed clashes between rival militia groups at the terminals last week, according to the latest S&P Global Platts OPEC survey.
NOC declared force majeure last week on loadings from Es Sider and Ras Lanuf, which had been set to load around 420,000 b/d in June.
Ras Lanuf had five operational storage tanks, storing up to 950,000 barrels. The loss of the two tanks has reduced its total capacity by 400,000 barrels to just 550,000 barrels, NOC said Monday.
Along with Brega and Zueitina, the Ras Lanuf and Es Sider terminals serve the Sirte basin, a collection of oil and gas fields in central and eastern Libya that account for around 650,000 b/d, roughly two thirds of the country's production.
OPEC is meeting to decide the future of its production cut agreement.
Libya was exempted from the cuts when the deal went into force in January 2017, but for 2018, it was given a loose cap of around 1 million b/d.
Sanalla said he supports the tentative deal to ease the quotas by 1 million b/d.
"I think so, it is good," he said. "Our attention is to restore our quota and our production. We are working very hard to resume operations, to restore our quota."
Sanalla said NOC was looking at opportunities to work more with Russia's Rosneft.
"We have cooperation with Rosneft for the trading," he said. "For other issues, we are in the process to see what we can do. Rosneft has the technology, the know-how."
|September, 21, 11:00:00|
|September, 21, 10:55:00|
|September, 21, 10:45:00|
|September, 21, 10:40:00|
|September, 21, 10:35:00|
|September, 21, 10:30:00|
U.S. EIA - Energy companies’ free cash flow—the difference between cash from operations and capital expenditure—was $119 billion for the four quarters ending June 30, 2018, the largest four-quarter sum during 2013–18 Companies reduced debt for seven consecutive quarters, contributing to the lowest long-term debt-to-equity ratio since third-quarter 2014
OPEC - Total oil demand for 2018 is now estimated at 98.82 mb/d. In 2019, world oil demand growth is forecast to rise by 1.41 mb/d. Total world oil demand in 2019 is now projected to surpass 100 mb/d for the first time and reach 100.23 mb/d.
ARAB NEWS - Oil exports from southern Iraq are heading for a record high this month, two industry sources said, adding to signs that OPEC’s second-largest producer is following through on a deal to raise supply and local unrest is not affecting shipments.
PLATTS - The International Energy Agency expects the US to account for 75% of the global growth in natural gas exports over the next five years, a bullish outlook for LNG developers facing challenges at home getting projects off the ground and abroad with tariffs affecting trade flows.