Libyan commander Khalifa Haftar has blocked oil exports from ports under his control. Exports are 800,000 barrels per day, currently suspended.
The move was launched to show strength ahead of a conference in Berlin with the Tripoli government organized by Angela Merkel. At this point, the commander refuses to stop his offensive and agree to a peaceful outcome, leaving the meeting in Russia last week.
Turkey is backing Tripoli, but stopping exports will make arms trade more difficult.
If the situation persists after the markets open, I would expect a sharp rise in oil prices. Worldwide production is equivalent to 102 million barrels per day, and stopping exports from Libya will create a serious deficit. Especially in Europe, where Libya exports most of its products.
Trader Martin Nikolov