TRIPOLI, April 20 (NNN-Xinhua) — Libya’s state-owned National Oil Corporation (NOC) declared Monday the state of force majeure in the port of Hariga, one of the largest oil ports in the country.
The NOC said the state of force majeure was declared as a result of the Central Bank of Libya’s refusal to liquidate the oil budget for months.
Force majeure is a contract clause that removes liability for catastrophic events, such as natural disasters and warfare.
Last year, the former UN-backed government of Libya decided to allocate 1,048 million dinars to the NOC.
Suspension of oil exports at Hariga port could cause daily loses of more than 118 million dinars (26 million dollars), the NOC said in a statement.
The lack of budget causes debts to some the NOC’s companies, resulting in a drop in the daily oil production of about 280,000 barrels per day, it said.
The NOC requested the Office of the Attorney General to “hold accountable all those obstructing NOC’s operations, directly or indirectly, and to take the necessary legal actions against those who attempt to jeopardize the capabilities of the country and damage Libya’s only source of income.” — NNN-XINHUA
