Libya lost 68 billion US dollars from attacks on oil, industry chief says

London: Libya will fall further into chaos if its factions don't quickly form a unity government, the head of the state oil company has warned, noting the country has already lost some USD 68 billion in oil sales amid political infighting.

Mustafa Sanalla, who is in London to attend a conference and get support from investors, made his comments on Monday just after the internationally recognised parliament in the divided country rejected a plan to move toward a unified government. The vote underscored the turmoil that continues to wrack Libya.

Sanalla argued that without a single government, there will be "neither security nor stability." "This vacuum will permit the other terrorist group and extremist groups to step in," he said. The appeal came a week after representatives of Libya's rival factions announced they would attempt to create a government of unity to stabilise a country engulfed in chaos since the 2011 death of dictator Moammar Gadhafi.

The United Nations is trying to broker a single government featuring the country's two factions, the Islamist one in the capital, Tripoli, and the internationally backed one in the eastern part of the country. With each side backed by its own fighters, the Libyans allied with the Islamic State group have gained strength, claiming responsibility for a series of deadly attacks and attacking oil terminals and fields, the sole source of Libya's wealth.

"This problem in Libya, it is not so sophisticated," Sanalla said after the first day of the conference at Chatham House. "We have two factions in Libya. They are not looking (out) for the interests of Libya, unfortunately." Aside from the obvious turmoil a dysfunctional government provides, the troubles also mean extremists are gaining strength. Islamic State militants have been attacking Libyan oil facilities since the start of the year.

Sanalla said the group doesn't want to hold the facilities, but disable them. His $68 billion estimate of lost production and exports since 2013 does not include damage and losses from the fire at the big port of Ras Lanuf last week or to any other facilities. Instead of blaming Islamic State alone, he levelled his most harsh criticisms at the Petroleum Facilities Guard, the force that is meant to protect oil facilities.