The Libya dinar crashed further in value in the black-market against the major hard currencies as the security forces charged with guarding all of Libya’s oil installations, the Petroleum Facilities Guards (PFG), closed several oilfields pipes and installations.
The dinar broke the LD 8 to the dollar today – the first time it has reached that rate for nearly 10 years. Tripoli government backed security forces entered the main currency black-market forcing its closure. Traders were still able to trade at a lower turnover though through their private WhatsApp pages – driving the price to over LD 8 per dollar.
The PFG had given the Tripoli based Libyan government, headed by Abd Alhamid Aldabaiba, 10 days to implement their demands, which they say are guaranteed by Libyan law. But the government had failed to respond in time.
As a result, they announced the closure of production at the Zawiya refinery and its port, the Mellitah complex and its port and shut off the Green Stream gas pipeline to Italy. This included the shutdown of the Al-Feel and Al-Wafa fields.
They further announced that production will be stopped gradually Al-Sharara, in addition to the Al-Watiya and Nalut pipelines.
The PFG say they are demanding their legitimate rights as prescribed by a court ruling in 2007 – a ruling to which governments have not responded.
They reported that last December, Prime Minister Aldabaiba had promised to meet their demands ‘‘within a short period’’ but failed to act. They say they had warned him that if there was no response, the oil fields would be closed.
Aldabaiba’s offer initially rejected
Late today Aldabaiba has issued a decree linking the PFG pay to a specific military paygrade. However, the PFG have initially rejected it, reminding that they are part of the National Oil Corporation and not of any military entity.
