Libya: The Ras Lanuf refinery could restart within a year after more than a decade of shutdown

Libya plans to restart its Ras Lanuf oil refinery within six to twelve months, according to the National Oil Corporation (NOC). This restart is primarily aimed at bolstering domestic supply in a country where the energy sector has remained severely disrupted for several years.

The chairman of the National Oil Corporation (NOC), Masoud Suleman, announced this deadline during a speech in London, specifying that preparations were already underway. The Ras Lanuf refinery, the country's largest with a capacity of 220,000 barrels per day, has been shut down since 2013.

This prolonged shutdown is linked to an arbitration dispute between the NOC and its Emirati partner in Trasta, the company that operated the site. This legal and contractual conflict has blocked any resumption of activity for over a decade, in a context already marked by political instability in Libya.

The NOC, however, announced that it had reached a definitive agreement with Trasta to end their partnership. This agreement now allows the Libyan oil company to take full control of the Ras Lanuf complex, a key step towards restarting the refinery.

According to Masoud Suleman, the necessary funding has already been secured for the facility's refurbishment. The maintenance cost is estimated at approximately $60 million, and the NOC asserts that it has both the human resources and the equipment required to carry out the work.

Libya's oil sector, the country's main source of revenue, remains vulnerable to internal tensions. Since the fall of Muammar Gaddafi in 2011, energy infrastructure has been regularly disrupted by political conflicts and local clashes. Just last week, the Zawiya refinery had to suspend operations due to fighting nearby.