The Libyan government and a rebel group stepped up rhetoric on Wednesday as Tripoli responded to a vow by dissidents to sell oil with a threat to sink their cargoes.
The Libyan government and a rebel group stepped up rhetoric on Wednesday
as
Tripoli
responded to a vow by dissidents to sell oil with a threat to sink their
cargoes.
The exchange, which comes after Libya shot at a tanker it said was illegally entering
its waters on Sunday, raises concerns about whether the chaos, which has cut
oil production by more than half in the North African nation and rattled oil
markets, could get worse. Libyan oil production has dropped sharply since the
rebel militia took over several ports on the country's eastern coast four
months ago.
Meanwhile, the autonomous Iraqi region of
Kurdistan
on
Wednesday said it plans to sell the first two million barrels of oil exported
through its controversial new pipeline to
Turkey
at
the end of the month.
The prospect of independent exports from
Kurdistan
to
Turkey
has
infuriated
Baghdad
,
which claims it has sole authority to market Iraqi oil.
The Libyan government has banned shippers from lifting oil at several ports in
eastern
Libya
,
including Es Sider, after they fell under the control of the rebel militia
seeking autonomy for its region,
Cyrenaica
.
A letter stamped the "Government of Cyrenaica" and bearing the
heading of the previously unknown Libyan Oil & Gas Corp., which was
circulated to the Libyan oil sector on Tuesday and has been seen by The Wall
Street Journal, calls on tankers to lift from Es Sider.
But Libyan Prime Minister Ali Zeidan on Wednesday warned that government forces
would "destroy or sink" any tanker coming to load oil illegally,
according to statements posted on his website.
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