NewsCommodities & ForexDrone Strike Targets Power Plant at Libya's Zawiya Oil Hub Amid Wave of Attacks

Drone Strike Targets Power Plant at Libya's Zawiya Oil Hub Amid Wave of Attacks

Author: OilPrice.com·

Key Takeaways

  • The drone strike hit a power station at the Zawiya oil export terminal, near Libya’s largest refinery.
  • Earlier attacks at the same site damaged an oil storage tank and a naphtha tank, with the latter leak later contained.
  • The destroyed storage tank reportedly held about 4.5 million liters of gasoline, worsening local fuel shortages.
  • No group has claimed responsibility for the recent incidents, and the attacks have been carried out with drones.
  • Libya’s National Oil Corporation warned it may declare force majeure on Zawiya exports if the damage continues.
Drone Strike Targets Power Plant at Libya's Zawiya Oil Hub Amid Wave of Attacks

A drone has struck a power station at the Zawiya oil export terminal in Libya, marking the latest in a series of attacks targeting one of the country's most critical energy hubs.

The power plant sits in close proximity to Libya's largest oil refinery, the Associated Press reported. The strike follows earlier drone attacks that triggered an explosion at an oil storage tank at the same facility. No group has claimed responsibility for the assaults, according to the AP.

The destroyed storage tank contained approximately 4.5 million liters of gasoline, according to the company operating the facility. The loss of the tank and its fuel contents threatens to deepen a local fuel shortage. Should the power plant be forced to shut down as a result of the drone strikes, refinery operations would also be disrupted.

The power plant attack represents the fourth incident in the vicinity of the oil terminal over the past several days. Over the weekend, a drone crashed into a naphtha tank at the Zawiya refinery, Reuters reported earlier this week, causing a leak that was subsequently contained. No attacking party has been identified in any of the reported incidents. The use of drones marks a shift from the blockades and facility occupations that have typically characterized attacks on Libyan energy infrastructure.

Libya's oil infrastructure is frequently targeted by armed groups seeking political leverage in the country's ongoing power struggles. Since the 2011 overthrow of Muammar Gaddafi, rival administrations and militias have repeatedly leveraged control over oil assets to press political and financial demands, making the sector a barometer of the country's broader instability.

The Zawiya terminal has a daily capacity of 120,000 barrels, supplied by the Sharara oil field — Libya's largest — which can produce up to 300,000 barrels per day. The Sharara field is itself a recurrent target for attacks and blockades by factions attempting to exert political pressure.

The wave of drone attacks prompted Libya's National Oil Corporation (NOC) to warn that it may be forced to declare force majeure on oil exports from Zawiya if the strikes continue and additional infrastructure is damaged. A force majeure declaration would legally relieve the NOC of its export delivery obligations, potentially disrupting shipments from a facility that feeds into Mediterranean and European supply chains.

Despite the sustained attacks, the NOC has expressed confidence that Libya's oil production can be increased from the current 1.4 million barrels per day to 2 million barrels per day over the next few years.

By Charles Kennedy for OilPrice.com