Libya’s Crude Output Hits a New High Just as Oil Prices Rebound

Oil prices

Libya’s oil production has climbed to more than 1 million barrels a day for the first time in four years just as oil prices capped the longest run of gains in six months after U.S. shale explorers interrupted a record drilling expansion.

Output is 1.005 million barrels a day, according to a person with direct knowledge of the situation, who asked not to be identified because they aren’t authorized to speak to the media. That would be the highest since June 2013, when Libya pumped 1.13 million barrels a day.

Libya’s oil output has rebounded from only 690,000 barrels a day at the start of the year, with Sharara, the country’s largest oil field, resuming production last month. State National Oil Corp. Chairman Mustafa Sanalla said in April he wanted to boost national output to 1.1 million barrels a day by August.

Oil futures advanced for an eighth consecutive session on Monday, after shale explorers broke the longest stretch of uninterrupted growth in three decades. West Texas Intermediate prices have still dropped 14 percent this year as rising supply from OPEC members Libya and Nigeria along with the U.S. is offsetting cuts from the Organization of Petroleum Exporting Countries and its partners.

WTI crude, the U.S. benchmark, was trading up 0.3 percent at $46.18 a barrel on the New York Mercantile Exchange at 12:41 p.m. Singapore time. Brent, the marker for more than half the world’s oil, was 0.2 percent higher at $48.85 a barrel in London.