Page 13 - AfrOil Week 28 2020

AfrOil PERFORMANCE AfrOil
“We appreciate greatly the e orts of the United Nations and the US to restart Libyan oil produc- tionandavertanescalationinthecon ict,”San- alla said. “If these e orts fail, as it appears they will, there must be consequences for the actions of the handful of states that are undermining the rule-based international order and destroying Libya. ey pose a grave threat to Libyan and global security.”
As of press time, neither the LNA nor the UAE had responded to NOC’s allegations. e UAE has been supportive of Ha ar and his cam- paign to loosen Tripoli’s control over the rest of the country.
In January of this year, the LNA launched an o ensive that gained it control over a large
Es Sider oil terminal (Photo: Marine Traffic)
portion of Libyan territory, including areas that allowed it to block the ow of oil to Es Sider and othercoastalexportterminals,aswellasdomes- tic facilities such as the Az-Zawiya refinery. Subsequently, Libyan crude production began dropping precipitously, sinking by more than 800,000 barrels per day (bpd) between January and June.
e GNA was recently able to restart nego- tiations with the LNA, a er mounting Turk- ish-backed campaigns that allowed it to regain control over some territory.
O cials in Tripoli had hoped that the talks would allow a resumption in exports of crude oil, the country’s main source of foreign cur- r e n c y. ™
Ghanaian official comments on impact of disruption in oil sector
GHANA
EGBERT Faibille Jr., the director-general of the Petroleum Commission of Ghana (PCG), said last week that his country was set to experience problems on several fronts this year as a result of disruption in the oil sector.
Speaking during a virtual conference organ- ised by the African Center for Energy Policy (ACEP), Faibille noted that crude prices had fallen signi cantly since the beginning of 2020 as a result of the coronavirus (COVID-19) pandemic, which had reduced global energy demand.
As a result of these developments, he said, Ghana’s oil revenues are likely to fall short of the
target by $1.04bn in 2020.
At the same time, he added, lower prices and
reduced demand will also a ect the Ghanaian economy at large. e country’s GDP is on track to shrink by 2.6-6.8% in 2020, he explained.
Meanwhile, investors are revising their plans for upstream exploration and development, he said, citing the recent move by Aker Energy (Norway) to postpone a nal investment deci- sion (FID) on the Pecan o shore project as an example. ese revisions will reduce the amount of foreign direct investment (FDI) owing into the country and pull production levels down, he said.
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