Libya’s oil production fell to 262,000 barrels per day, and could decline to 72,000 barrels per day soon, Mustafa Sanalla, chairman of the National Oil Corporation announced today.
He also added that they are trying to lift the blockade of the major ports and oilfields, giving priority crude allocation to Al Zawiya refinery.
Yesterday, the United Nations Support Mission in Libya (UNSMIL) condemned in the strongest possible terms the attack against Mitiga Airport, by two grad missiles, which resulted in the injury of at least two civilians, and damage to the tarmac and a number of buildings including private and public property’’.
UNSMIL tweeted that “attacks against civilian targets, especially public facilities, represent a blatant violation of international humanitarian law”.
Today, gold prices rose to their highest in more than two weeks because of China virus.
Spot gold climbed 0.5% to $1,577.93 per ounce by 07:43 GMT. Earlier in the session, prices rose as much as 1% to their highest since January 8 at $1,586.42.
U.S gold futures rose 0.3% to $1,576.50.
Asian stocks slipped as the coronavirus killed 81 people and infected more than 2,700 in China, with residents of Hubei province, where the disease originated, banned from entering Hong Kong amid global efforts to halt the rapid spread.
In a statement issued today, the Libyan Islamic Bank announced that it will accept more orders related to foreign currency purchases for personal purposes, as well as the grant of Heads of Households for 2020.
The Bank clarified that the legal procedures required for the grant of Heads of Households and personal purposes did not change, adding that it continues to accept the Heads of Households’ budget of $500 for citizens who did not apply for it during the last year.
The Bank’s statement indicated that it is ready to receive applications through its branches in tourist areas, Tajura, Misurata, Hoon and Al-Sawani.
Today, the exchange rate of major international currencies were stable against the dinar in the parallel market.
The dollar exchange rate rose slightly by one penny, reaching 4.41 dinars after recording 4.40 dinars yesterday.
However, the Euro and the British pound settled at yesterday’s level, 4.80 dinars and 5.70 dinars respectively.
Turkish lira remained at 0.73 dinars, while the Tunisian dinar recorded 1.55 Libyan dinars in the parallel market.
Today, crude prices dropped below $60 for the first time in nearly three months as China’s coronavirus rose, and more businesses were forced to shut down.
Brent crude LCOc1 fell by $1.79 a barrel, or 2.95%, to $58.90 by 09:03 GMT, its lowest since late October.
U.S crude CLc1 was down by $1.63, or 3%, at $52.55.
Global stock exchanges also fell as investors are increasingly anxious about the widening crisis.
Today, Saudi Arabia’s Energy Minister Prince Abdulaziz bin Salman Al-Saud announced that OPEC and allied global producers led by Russia can help to balance the oil markets in response to any demand changes.
Next Tuesday, more than 50 Libyan businessmen will participate in the Algerian-Libyan Business Forum, in Algeria
The Forum is organized by the Algerian Chamber in cooperation with the Chamber of Commerce, Industry and Agriculture in Sabha (south of Libya).
The Director General of the Algerian Chamber of Commerce and Industry, Wahiba Bahloul, claimed that the Forum aims to create a communication space between Algerian economic businessmen and their Libyan counterparts, adding that it will be also an opportunity to explore partnership between the two sides and investment opportunities in Algeria.
In a statement , the United Nations Support Mission in Libya (UNSMIL) claimed that it deeply regrets the continued blatant violations of the arms embargo in Libya, even after the commitments made in this regard by concerned countries during the International Conference on Libya in Berlin, held on 19 January 2020.
UNSMIL also expressesd that January’s truce agreement led to remarked reduction of hostilities in Tripoli and provided a much-needed respite for civilians in the capital.
However, this fragile truce is now threatened by the ongoing transfer of foreign fighters, weapons, ammunition and advanced systems to the parties by member states, including several who participated in the Berlin Conference.
UNSMIL added that numerous cargo and other flights were observed landing at Libyan airports in the western and eastern parts of the country providing the parties with advanced weapons, armoured vehicles, advisers and fighters.
The mission condemns these ongoing violations, which risk plunging the country into a renewed and intensified round of fighting.
Today, Libya’s National Oil Corporation (NOC) claimed that oil production dropped to 320,154 barrels per day by January 23, from 1.2 million barrels.
Financial losses caused by the blockade stood at $256.6 million, the NOC clarified in a statement.
It warned that oil production can drop as low as 72,000 barrels per day if the blockade continues.
The NOC announced that gas production stood at 50 million cubic feet per day, without reporting any output change, and that Zawiya refinery in western Libya was working normally and producing fuel for national consumption.
Yesterday, the governor of the Central Bank of Libya Seddik Al-Kabir claimed that a blockade of major Libyan oil ports is damaging the economy and must be quickly resolved, adding that Libya might run a budget deficit in 2020.
“Now oil represents 93% to 95% of total revenue and covers 70% of total spending. This is a bullet in the head, that will hurt Libya and the Libyan people…We really hope that the crisis ends as fast as possible because it hurts everyone.” Al-Kabir announced in an interview in London.
He also clarified that the Central Bank had not yet agreed on a budget for 2020 with the internationally recognised government, which proposed a budget deficit of 17.5 billion LYD.
He added “We rejected that and asked them to trim spending,” stressing that a deficit is still possible due to the oil blockade.
Al-Kabir said that authorities made 23.8 billion LYD in 2019 as fees on hard currency sales which were introduced in 2018 as part of economic reforms.
“In 2018, fees worth 13.2 LYD were collected”, he claimed.
Al-Kabir declined to give a figure for foreign reserves but said they had risen slightly in the last two years, when oil production was more stable than in the aftermath of the 2011 revolution.