The head of the Tripoli-based National Oil Company (NOC), Mustafa Sanalla, and Nagi el-Maghrabi of the eastern-based NOC, met last week to agree on steps to unify the NOC and lift the blockade at Hariga port.
The meeting was held at the direction of the Presidency Council and was the fourth such meeting between Mr Sanalla and Dr el-Maghrabi since a first meeting on March 17 in Tunis.
The two sides signed a memorandum of understanding asking the House of Representatives and the Presidency Council to unify the oil sector. The two sides also agreed to resume crude oil shipments from Hariga to avoid damage to pipelines, avert a financial crisis, and ensure power supplies are not interrupted further.
Resuming crude oil supplies will help to limit the Deficit in Libyan budget, the draw on CBL reserves and the direct effects on LYD rates. The MOU makes no distinction between shipments for export and for domestic supply. MT Seachance sailed on Friday from Marsa Al Hariga with 660k BBL onboard announcing the resumption of the export from the port.
The statement from the NOC concluded: "We take this opportunity to assure the oil market about the future stability in the production of Messla and Sarir and exports from Marsa Al Hariga and we will do our best to restore the confidence in the Libyan grades."
According to Argus, the Seachance is an Aframax tanker chartered by Glencore. Marinetraffic reports the vessel at the French mediterranean port of Fos Sur Mer on Tuesday.
(Sources: NOC, Argus, Marinetraffic)