Libya's Ports Prepare to Load Oil Tankers

Posted by Michelle Howard
Monday, April 07, 2014
  •  Hariga, Zueitina ports expected to open first
  •  Deal calls for more talks on larger terminals (Adds context, background, oil prices)


Libya's Zueitina oil port prepared on Monday to load crude on tankers after the government reached a deal with rebels to reopen four terminals that insurgents have occupied since summer.
 


The federalist rebels agreed on Sunday to end gradually their eight-month blockade of Zueitina, Hariga, Ras Lanuf and Es Sider ports, which account for around 700,000 barrels per day of the OPEC country's crude exports.



Brent crude fell $1.47 to a low of $105.25 per barrel before recovering to $105.72 by 1256 GMT, after news of an end to the port protest removed some of the supply worries affecting the oil market.



"The port is ready to start exporting at the present time or later at any time, and a maintenance unit team has already started work to receive the first tanker," said Abdulatif Al-Alam, operation coordinator at Zueitina.
 


He said the port was awaiting orders from the state-run National Oil Corp to begin receiving customers.



Under the agreement with Tripoli's government, Zueitina and Hariga ports were expected to open immediately while the larger ports, Ras Lanuf and Es Sider with around 500,000 bpd capacity, will be reopened in two to four weeks after more negotiations.
 


But the manager at Hariga said he had received no confirmation to reopen and would need at least 10 days to prepare for tankers to load crude.



The remarks from the Hariga manager indicated how technical problems and ongoing negotiations over the two larger ports could still delay a full reopening of the North African state's oil supplies.



"It takes 10 days or two weeks at least to prepare the oil port to work again and to welcome customers and tankers to load oil," Hariga terminal manager Rajab Abdulrasoul told Reuters.



The deal to end the port standoff will be a major boost for Libya's fragile government, which has struggled to impose its authority over a vast nation still in chaos nearly three years after the fall of dictator Muammar Gaddafi.



Still, the agreement did not address rebels' key political demands for more autonomy or sharing of oil revenues. Details were not clear about what remains to be negotiated over the two larger terminals.



Tough Negotiations
The clash over control of Libya's oil resources was the starkest example yet of how far the government is unable to impose its authority over brigades of former rebels and militias who refused to disarm after Gaddafi's fall and often use their muscle to strong-arm the state.



The federalist rebel leader, Ibrahim Jathran, is a former anti-Gaddafi fighter who took command of facility guards protecting oilfields, refineries and ports. He defected with thousands of his men in the summer to seize three terminals.



Hariga had been taken over by a separate group of protesters who sympathized with Jathran's campaign for a larger slice of Libya's oil wealth for his eastern region, where many feel they have been abandoned by Tripoli for years.



The agreement calls for a commission to investigate corruption, for charges against Jathran's men to be dropped and for the former oil guards to receive their state salaries.



Tripoli's government often finds itself falling prey to rival bands of former rebels and militias who are loosely allied with competing political factions in the country's parliament.

 

(writing by Patrick Markey; Editing by Erica Billingham and Dale Hudson)

Maritime Reporter April 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

People & Company News

PSA Starts Expansion Work on 2m teu Panama Terminal

Singapore-based port operator PSA Panama International Terminal (PSA Panama) has started a USD 400 million expansion of its container terminal located on the west bank of the Panama Canal Pacific.

Long Beach Picketers Not Striking -Port CEO

Port of Long Beach CEO Jon Slangerup issued a statement addressing the status of picketing truckers at the harbor, pointing out that the demonstration is not a strike.

E-Procurement Streamlined via the Cloud

Marine Procurement Solutions (MPS) has built an electronic platform that aims to enhance the purchasing cycle for the maritime industry. MPS provides software,

Tanker Trends

APM Maasvlakte II Terminal Opens

APM Terminals Maasvlakte II held a ceremony  to celebrate the opening of the world’s most automated container terminal.   The  event that was attended by Dutch

MISC Says AET Tankers Unit Not for Sale

MISC Berhad issued a statement today addressing recent market speculation that the company is set to sell its wholly owned petroleum tanker subsidiary AET Tankers.

Strong Tanker Market Extends Peak Season High Earnings

Tanker earnings for crude oil tankers have climbed to new strong levels in the first quarter of 2015, with averages not seen since 2008, the Baltic and International Maritime Council (BIMCO) reported.

Ports

PSA Starts Expansion Work on 2m teu Panama Terminal

Singapore-based port operator PSA Panama International Terminal (PSA Panama) has started a USD 400 million expansion of its container terminal located on the west bank of the Panama Canal Pacific.

Hung Hom Dredging Kicks Off

Marine works involving dredging operations will be carried out near the Hong Kong Coliseum, Hung Hom for the next ten months, according to mardep.gov.hk.   The

Bollore Consortium Misses out on Cameroon's Kribi Port Shortlist

A consortium led by France's Bollore failed to make the final shortlist of firms vying to manage a new container terminal in Cameroon's southern port of Kribi,

Energy

BHGI-designed ATB Unit Under Construction

Bristol Harbor Group, Inc. (BHGI) informs it is currently completing the detail design phase of a 399’ x 74’ x 30’ 80,000 BBL double hull oil tank barge and a 120’

Maritime Tension Dominates Southeast Asia Summit

Southeast Asian leaders edged closer to open criticism of China's land reclamation in the disputed South China Sea at a regional summit on Monday, as the Philippines

Lagos Port Drags on Africa's Top Economy

Ruling party reforms improved Apapa port; shippers still face delays and corruption. The road leading to the Lagos port, which handles nearly everything that Africa's biggest economy imports,

Government Update

Hung Hom Dredging Kicks Off

Marine works involving dredging operations will be carried out near the Hong Kong Coliseum, Hung Hom for the next ten months, according to mardep.gov.hk.   The

US Designates Three Marine Highway Projects

U.S. Transportation Secretary Anthony Foxx has designated three new Marine Highway Projects.   The Mississippi and Illinois Rivers, previously designated as the M-55 and M-35,

IMO Forum Aims to Rebuild Somalia's Maritime Sector

A three-day Stakeholders Forum will be held April 27-29 to review draft guidelines for the establishment of a Somalia Maritime Administration, coordinated and funded

 
 
Maritime Contracts Maritime Standards Naval Architecture Navigation Pipelines Pod Propulsion Ship Repair Shipbuilding / Vessel Construction Sonar Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1512 sec (7 req/sec)