HOUSTON - After Seizing control of critical oil fields and terminals in eastern Libya Over the weekend, Libyan rebels are now Trying to sell oil in International Markets, raising Potentially Hundreds of millions of dollars to buy Weapons and supplies.
Oil Industry Officials, echoing claims made by a rebel leader, Said Monday That Believed optometrist Qatar HAD Agreed to buy oil and Offered by The Rebels Planned to ship it in tankers leased.
The Qatari Government has not commented on The Oil dirty, but on Monday, Qatar Became The First Arab Country to Formally Recognize The Legitimacy Of The rebels have Representatives of Libya. In addition, The Recent Advances By The military rebels Were Made possible by allied air support as well as "critical Logistical Commitments from Qatar.
"There clearly" Appears to Be Some coordination and money CAN buy you a lot, "Said Michael A.Levi, Senior Fellow for Energy and the Environment At The Council on Foreign Relations. "My guess is this Will Be More Than conflict Consequential pour la pour la Oil Market."
Over the Last Few Days, The Rebels Have Seized With SEVERAL important oil towns facilities optometrist Said Would enable Them to Produce and export crude. Although There Is concerned thats the rebel advance to PROVE May Be Fleeting, oil traders Responded to Their victories by pushing down The Price of world oil MOST benchmarks, Albeit modestly.
On Monday, The Price Of The benchmark United States crude oil, West Texas Intermediate, Fell by $ 1.48 a barrel, or 1.4 percent, to $ 103.92. The benchmark 7.3 percent IS Higher Than It Was A month ago, and 30 percent Higher Than a year ago.
Although The Libyan Government faces Global Economic sanctions and asset freezes, an Official at the Treasury Department Said thats the United States seek to block Would not oil sales by The Rebels If They Could PROVE the money Was Not Going to Any Libyan Government Authority, The National The golden oil company Qaddafi family.
"Everything owned by or Controlled By The Government of Libya IS subject to penalties," Said The official, Who spoke condition of anonymity On The Because no official determination HAD Been Made About the Proposed dirty oil. "Anything leur Is Not Governed by U.S. sanctions."
According To news reports, The Rebels Claimed THEY Would Be Able to Produce up to 130.000 barrels of crude a day, less Than a Tenth of What Exported Libya turmoil erupted last month Before.
Purpose THEY aussi Have access to millions of barrels Stored in coastal oil terminals, Which Have Been Effectively closed to tanker traffic "during the conflict. The rebels now control all five eastern oil export terminals, Including Es Sider, Ras Lanuf and Zueitina, Roughly Two-Thirds Of The country's export capacity and a Majority of icts Production and Refining Capacity, According To A Research Note by the Eurasia Group, consultancy firm ceramic flat iron.
Francois Gauthier, Algeria The country manager for The Italian energy company Enel Estimated That There Could Be as Many as Two Million Barrels of Oil Stored in just one rebel-controlled oil port, Tobruk, That Could Be Exported quickly. At year Estimated sale price of $ 100 a barrel, Selling the oil in Tobruk "could raise as Much as $ 200 million, although The Rebels Would Probably Have to Share the funds With Western Oil Companies That Own The co-leases on the Field.
"It's a lot of cash, to It Will not solve all of Their Problems Over the long run," Mr. Gauthier said.
Libyan oil is Valued IS particularly World Markets Because It Is high quality, little Needs Refining am and is particularly well suited for European Markets diesel.
With allied planes and naval Vessels Patrolling the area, Col.. Muammar el-Qaddafi powerless to stop Could Be tankers from sailing Into and out of Tobruk and Other rebel-held ports. However, forces loyal to Colonel Qaddafi could "sabotage" still critical pumping equipment Needed to transport oil from the field to The Port.
The rebels Already Have Their Own Oil Company, Agoco, Which Is based in rebel-held Benghazi and broke away from the national oil company The Main Early in the conflict. Agoco controls fields That represents 40 percent of the Country's 1.6 million barrels a day of oil output and Operate terminal and refinery year in Tobruk.
Aside from a few "refinery storage tanks, little of Libya's oil infrastructure has been" Damaged In The fighting so far. The pumps, hoses, metering, docks and storage tanks At The ports are intact, & the oil fields are pumped to Be Ready by local Oil Workers, According to oil experts.
"It's only a matter of flipping switches," Said Michael C. Lynch, president of Strategic Energy & Economic Research, a consultancy firm.
Details Of The dealings Between The rebels & the Qataris Remain unclear, to SEVERAL Oil Industry Experts Said The Qataris gold The United Nations could "place" any money from Libyan oil sales in year escrow fund That Would Later Reimbursement Italian, French, Spanish and American oil companies That Have Investment in the Libyan oil fields. Those companies include Eni, Repsol, Total and Occidental Petroleum.
"The companies 'attitude May Be' Do not worry, we'll settle up Later," Said Mr. Lynch, Who Has Broad Experience in International Oil Market. "This is a good way to get companies pour la On The rebels' good side."
