Eni SpA, Italy's largest oil company, said it has halted some operations in Libya as political tensions mount in the country that is home to Africa's largest oil reserves. The company said it was forced to suspend operations related to the Greenstream pipeline, which accounts for 10% of Italy's gas needs.
Eni (E), which has been doing business in Libya for over five decades, is more heavily exposed to the country than any other Western oil major. Libyan hydrocarbon production now represents about 13% of Eni's total output, the Wall Street Journal reported.
Eni said it does not know how long its Libyan activities will be halted for. The company declined to say how much of its total oil production has been hampered by the situation in Libya. Eni said it will repatriate all of its nonessential staff and families in the next hours, leaving 34 employees between its operating plants and Tripoli office, according to the Journal.
Repsol YPF (REP), Spain's largest oil company, also said it has suspended its Libyan operations. Libya, an OPEC member, produces about 1.1 million barrels of oil per day.