Libya Oil Production Hit After Armed Group Shuts Pipeline Valve

An unidentified armed group shut Valve No. 7 on the pipeline connecting Libya's major Al-Sharara oil field to the western port of Zawiya, causing a sharp drop in oil production of about 200,000 barrels per day. The National Oil Corporation (NOC) warned that the disruption threatens state revenues, could force the closure of the Zawiya refinery, and may compel the company to declare force majeure if the unauthorized shutdown continues. This incident follows a pattern of security challenges and labor protests involving pipeline closures by the Petroleum Facilities Guard.

// Background

Libya holds Africa's largest proven oil reserves and relies heavily on crude exports for state revenue. Since the overthrow of Muammar Gaddafi in 2011, the country has experienced chronic political division between a UN-recognized government in Tripoli and a rival administration in the east, leaving energy assets frequently vulnerable to armed groups, blockades, and labor strikes.

// Key Developments

• An armed group closed Valve No. 7 on the Al-Sharara to Zawiya pipeline on Monday, September 21, 2026.
• Al-Sharara production dropped by approximately 200,000 barrels per day, falling from around 300,000-340,000 bpd down to about 100,000 bpd.
• The National Oil Corporation (NOC) warned it may be forced to declare force majeure if the pipeline closure persists.
• The disruption threatens to shut down the Zawiya refinery, raising fuel import costs and severely impacting national state revenues.
• Technical teams have been unable to access the areas surrounding valves 6 and 7, and appeals to the Petroleum Facilities Guard produced no results.