Libya resumed oil exports

Almaty. March 2. Kazakhstan Today - Libya has resumed oil exports to foreign countries, Kazakhstan Today reports.

Libya's revolutionary leaders sought to prove their pro-western credentials on Monday by announcing an immediate resumption of oil exports to foreign clients - even though the proceeds will go straight to Col Muammar Gaddafi, The Telegraph reported.

For the first time in over a week, oil was shipped from the eastern port city of Tobruk, deep in territory that has fallen to a civilian-led insurrection that has styled itself the Free Libya movement.

A tanker carrying 700,000 barrels of crude oil sailed for China, with a second bound for Italy due to leave in the next 48 hours.

Such quantities may be trifling when compared the vast amount of oil in the world's waterways at any one time, but the resumption of Libyan exports has already done much to soothe international concern.

Oil prices have soared since the turmoil in Libya began nearly a fortnight ago, raising fears of a major setback to the faltering global economic recovery, but the cost of a barrel of Brent crude fell for the first time in days in response to the news.

According to the European Union, 80 per cent of Libya's oilfields are now under the control of the insurrectionists.

Western expatriates managing the oilfields have largely fled the country. China has evacuated nearly all its 7,000 nationals, most of whom are involved in the oil industry.

Other foreigners, mostly from Africa and Asia, have sought sanctuary in port cities, where many remain stranded, and a number of local workers have either gone home or taken up arms and joined the uprising.

British expatriates said Bedouin tribesmen had looted equipment and supplies in more remote oilfields in the south.

Officials involved in setting up a Libyan National Council, a de facto provisional government headquartered in the second city of Benghazi, conceded that oil production had fallen by as much as 50 per cent.

But they said they were determined to fulfil Libya's international obligations, while ensuring that domestic demand - vital for the success of the revolt - is also met.

"The main reason to keep the oil flowing is that the crisis will be much worse, both for the international community and for us if we don't," said Idris al-Sharif, an official affiliated with the new authority in eastern Libya said.

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