Oil theft 'costing Libya over $750m annually'

[CMOP + 227]

Fuel smuggling is costing Libya more than $750m each year and harming its economy and society.

The fuel smugglers and thieves have permeated not only the militias which control much of Libya, but also the fuel distribution companies which are supposed to bring cheap fuel to Libyan citizens.

Before the revolt Libya, with estimated oil reserves of 48 billion barrels, used to produce 1.6 million barrels per day (bpd).

But output fell to less than 500 000 bpd between 2014 and 2016 due to violence around production facilities and export terminals as rival militias fought for control of Africa's largest crude reserves.

We have seen similar situations around the globe primarily in corrupt war driven countries. Take Mexico for example they have seen over $1.6billion in fuel theft in the last year alone. It's much safer and cheaper to transport stolen oil than it is to smuggle drugs into the United States.