Article 201102230901: History of Libyan oil 1955-2008


History of Libyan oil 1955-2008

ID: 201102230901

Libya produced 1.65 mb/d of crude oil in Oct. 2010 and exported 1.2 mb/d crude in 2008. Both crude production and exports have recently peaked.

Libya is a maturing oil province in which 27 Gb have been produced, out of an estimated ultimate of 40-60 Gb. Therefore, the depletion midpoint has been reached or will be reached in this decade. Due to the low population (6.5 million) and a local consumption of petroleum products of just 250 kb/d Libya will remain an oil exporter for a long time to come even when taking into account population growth and higher per capita consumption rates. However, we do not know to which extent the current unrest will impact on future oil production.

History of Libyan oil:
1955: Petroleum Law, entry of British and American oil companies
1957: First oil discovery: light crude in Zelten, Sirte basin
1959: Discoveries: Amal 4.5 Gb, Beda 1 Gb, Nasser 1 Gb
1961: BP finds remote giant Serir field, 5 Gb
1960: Discovery Defa 2 Gb
1961: Discovery Gialo 3.5 Gb, Sarir 6 Gb, Waha 1 Gb
1962: Libya joins OPEC
1965: Discovery Augila-Nafoora 2 Gb
1967: Discovery Intisar 2.25 Gb
1967: Libyan oil gains strategic importance after 6-day war
1968: Discovery Bu Attifel 1.5 Gb
1969: King Idris ousted by Colonel Gaddafi
1970: Oil production peak at 3.3 mb/d
1970s: Nationalisation of oil industry results in production decline
1973: OPEC embargo on oil exports
1977: War with Egypt
1978: War with Chad starts (Aouzou strip, until 1987)
1980s: OPEC quotas introduced, quota is now 1.5 mb/d
1986: US aerial attack
1988: Pan Am explodes over Lockerbie
1993: UN sanctions banning import of refinery equipment,
1996: US trade sanctions
2002: Oil output increased due to an international re-orientation
2004: Tony Blair shakes hands with Gaddafi, US sanctions lifted
2008: Libya-Italy friendship treaty ($5 bn compensation from Italy for colonial occupation)

Land: LBY