Hall reports: "Before the war, Libya provided about 1.1 million to 1.6 million barrels per day, roughly about 2 percent of the world's daily oil demand. But while that production made Libya only the world's 17th largest oil producer, it has the largest proven reserves in Africa and it played an outsized role in supplying Western Europe, where refineries easily process its lighter grade of crude."
The collapse of Moammar Gadhafi's regime in Libya may help reduce US gasoline prices. (photo: Jeff Pachoud/AFP)
Oil Companies Plan Quick Return to Libya
23 August 11
�
ith the regime of Moammar Gadhafi on the verge of collapse, international oil companies began preparing Monday for what they hope will be a quick return to production in Libya, a move that's expected to reduce the global price of crude and help drive down US gasoline prices.
Companies, most of which withdrew their expatriate staffs when fighting began in February, said that Libya's oil installations appeared largely undamaged from months of warfare and that once peace was restored, production and exports should resume quickly.
"Our people are ready to go back to work when the conflict is resolved. From that point forward, they can return to production in four weeks or less," said Carmen Herrero, a spokeswoman in Madrid for the Spanish oil company Repsol.
Before the war, Repsol's joint venture with the National Oil Corp. of Libya was producing about 35,000 barrels of oil daily at the El Shararah oil field in the central Libyan desert near Ubari. The last word Repsol officials had from their Libyan staff, in late July, was that the fighting hadn't affected the installations.
"We have to see what happens going forward, the new government, the new authorities," Herrero said. "If there are no problems and people can go back to the country, there can be production in about four weeks maximum."
Italy's foreign minister, Franco Frattini, told Italian television Monday that workers from Eni, Italy's government-controlled oil company, were now in eastern Libya looking to restart oil production and transport quickly. Italy's presence in Libya dates to its brief colonial rule from 1911 to 1934, and Frattini told his countrymen that "Eni will play a No. 1 role in the future."
According to statistics on the National Oil Corp. of Libya's website, Eni was extracting about 196,000 barrels per day of oil from Libyan fields before the war. In addition, the company produces large quantities of natural gas.
A statement from the US oil company Marathon said it wouldn't consider returning its staff to Libya "until we could ensure the situation was stable and secure." It said that "speculation on a time frame for our return would be premature."
The statement added, however, that the company had begun discussions with the rebel National Transitional Council on the condition of facilities in the Waha field it operates jointly with Libya's national oil company.
Before the war, Libya provided about 1.1 million to 1.6 million barrels per day, roughly about 2 percent of the world's daily oil demand. But while that production made Libya only the world's 17th largest oil producer, it has the largest proven reserves in Africa and it played an outsized role in supplying Western Europe, where refineries easily process its lighter grade of crude.
Saudi Arabia stepped into produce more oil, but Saudi oil is more difficult for European refineries to process.
"There is a great incentive for the Europeans to get this oil back on line quickly because they've been hurt," said John Kilduff, a veteran oil expert for Again Capital, an energy-trading hedge fund in New York.
The conflict in Libya sparked a spike in energy prices in the spring, as traders fretted that the civil war could spread to other oil-producing nations. Economists now think that price spike significantly slowed U.S. economic activity in the first half of the year.
Kilduff said American consumers should see the impact of the return of Libyan oil in lower gasoline prices, even if the oil wasn't directly distributed in the United States.
"There should be a decent decline as a result of this oil coming back on line," he said. "Once you start to see the first � exports, you will see further (downward) pressure on prices rapidly."
Gadhafi and the opposition appear to have spared most of the nation's oil and natural gas infrastructure, viewing oil as a cash cow that must be preserved.
"I think certainly both sides saw the petrol dollars as the way forward, to placate the various factions within the country," Kilduff said. "The majority of the pipelines and other infrastructure are fine, and will be ramped up quickly."
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It's not like he wasn't using the power of his position to take advantage of the poor around the would. You can be naive all you want, but that bartard had to go. Because of his money and power, it took the powerful and their money to take him down. I hope they keep on doing it to each. I assume you don't think what we have elected is the MAFIA.
Christine Lagarde, is highly educated and has held VERY BIG positions both in France and also here in America. She was head of a big US corporation a short time ago. She was called back to France to become Finance minister.
I have seen her both on Charlie Rose's program and also on Fareed Zakaria's several times. She is one very smart likable lady, and of course extremely intelligent. Before too long she may be President of France.
This confirms my feeling that we should have more cabable women in these high positions. There would be far less stupid scandals like the DSK, for women who are in high position don't behave in the way men in similar positions do.
These men feel entitled to go after any woman just because they are powerful.
The list of them is too long to write here. But we all know an awful lot of them.
So send in the women.
of
The list of them is too long to write here. But we all know an awful lot of them. So send in the women."
The powerful women seem to be immune to an illness that has afflicted so many men: The Alpha Male Syndrome". It is not just like those men feel entitled to go after any woman, they cannot abstain from it. Testosterone takes over the brain. That's why I call it a disease.
"ABSOLUTE POWER CORRUPTS ABSOLUTELY"
It is a WOMAN, who may very well save Europe from total financial disaster... Angela Merkel.
And our own secretary of state, Hillary is certainly doing a fine job...as well as any man. Madeline Albright was extremely cabable when she was sec. of state. Not to mention a number of smart female governors.
Chritiane Amanpour is only one of a long list of bright courageous, intelligent reporters.
So can the talk of eunuchs, Call in the women. Boy it is obvious I am the only woman commeting on this article.
You obviously have done some readen, for you are right, some of them eunuch were conniving little,some not so little schnooks....Tha t was funny.
You know John I pertnear called you a male chauvenist pig, in my "righteous"ange r. But I thought better of it and contained myself.ha,ha.
The New York hotel where the Dominique Strauss-Kahn was accused of trying to rape a chambermaid on Sunday issued a point-by-point denial of claims that the former French presidential favourite was set up as part of a grand conspiracy to discredit him. '
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Well, maybe we have more than one conspiracy going on here. The conspiracy to try an repair this pig dirty little legacy. Trying to prove there was a conspiracy to discredit DSK is going to be harder than trying to prove the rape case against him.
I always thought that DSK was kind of an egomaniac. That said, he lives in a world of egomaniacs and his brand of egomania would stem the tide of Sarkozy ideologies. The world is not black and white. To believe it is is naive and makes every persons life a potential political football.
The "Inconsistensie s" in MS Diallo's testimony were many more than the couple of very minor ones mentioned here. She had lied about a lot of things. Great sums of money in her bank account, and a lot of lies, that made it hard for the police to believe her. (I followed it)
Something else is a little difficult to understand. MS Diallo is a tall woman, 5' 10 and strongly built, Kahn is a small man and he was naked. I would think she would be able to, either escape or fight him off,
I do not think, as some do, that a woman "asked for it" I am just puzzled for the reasons I just mentioned.
DSK was always a rutting porker!
Besides, even les socialistes would have
had a most difficult campaign explaining why they would allow a pig dedicated to destroying social safety nets all over the planet as IMF policy to represent them. And if it had been a plot I can assure you the French are smart enough to have waited until he was the annointed candidate before springing a trap knowing full well the fat old satyr would provide ample opportunities