A self-proclaimed rival government controlling Libya’s capital announced its own oil policies, despite Prime Minister Abdullah al-Thinni saying oil revenues continued to go to the elected government, Reuters has reported.
Libya is struggling with two competing governments vying for control after Operation Dawn, an umbrella of armed groups from the western city of Misrata, seized Tripoli in August, forcing Thinni’s government to withdraw to the east.
The Misrata-led forces have since formed their own rival parliament and government, which has taken over some ministries and effectively controls parts of western and central Libya.
Oil traders are concerned about the uncertainty over who is in charge of Libya’s vast oil reserves after the Misrata group appointed its own oil minister and took over the official website of state firm National Oil Corp (NOC).
The power struggle adds to uncertainty about the oil industry, which had just started to show signs of recovery after Thinni managed to end a blockage of major eastern ports by groups of rebels demanding autonomy.
In an interview with local news agency Press Solidarity, the newly appointed oil minister, Mashallah al-Zawi, said the ministry was working to resolve oilfield protests and discussing early retirement schemes for staff to make room for fresh recruits.
“The ministry is working to resolve the issue of sit-ins by youth through dialogue and by meeting some demands,” he said, outlining his policies the first time, according to the agency’s website.
At least 17 people were killed on Friday in the main eastern city of Benghazi where pro-government forces backed by locals are fighting Islamists.