Libya’s National Oil Corporation (NOC) in the east is planning to commence the selling of crude oil this March despite the fact that the dispute with the NOC based in Tripoli and Glencore have hindered efforts to export oil.

The NOC in the east has been struggling to take control of the sector from Tripoli, but all efforts proved abortive as the NOC in Tripoli still has the backing of major oil companies.

According to Nagi Al Maghrabi, the Chairman of the Eastern NOC, the corporation has entered into 14 contracts with potential buyers since September but none of them has so far, found a tanker eager to collect the oil.

He added that disputes between the two national oil corporations increased in February when a buyer from the eastern company was not allowed to collect crude from the Hariga port following Tripoli’s interference.

Shipping sources have said that many tanker owners are unwilling to deal with the eastern NOC in order to escape uncomfortable situations with some of the key oil traders, provided that they support Tripoli in the fight over Libya’s oil wealth.

Libya used to produce over 1.6 million bopd before the revolt that toppled Muammar Gadaffi in 2011 but production has dropped to approximately 360,000 bpd, making the country lose $68 billion in revenue, Maktoob news reports.

Anita Fatunji