Resumption of production in Libya and the price of oil.

Libya has always been one of the largest oil producers; its reserves are estimated to be among the largest on the African continent.
Over the past few years, it was Libya that was one of the obstacles to increasing oil prices, because the country did not sign an agreement to limit production.

This is a bonus, so to speak, due to the unfavorable political and economic situation within the country.

And now another news from Libya makes OPEC countries worry again - oil production at one of the largest fields, Sharara, has been resumed since September 6, 2017.

While the market has not reacted to the news, perhaps a reaction will follow after an increase in production volumes. It is unlikely that the increase in production will be significant in global volumes, but it is highly likely that oil prices will decline again.

Many experts say that it is the increase in Libyan production that is the main obstacle due to which the oil price will not be able to rise to $60 per barrel.

The decline will continue until a new factor appears on the market that will affect the price of oil; it could be another OPEC agreement, the resumption of an armed conflict in one of the producing countries, or another event related to the energy market.