Benjamin Nolan, an equity analyst at Stifel, believes the development will lead to a “moderate increase” in demand in the long-term since production is unlikely to reach levels seen in mid-2013 for some time.
In a note to clients the researcher pointed out that Libya’s crude exports typically end up in Europe, which means the reactivation of El Sharara and other oilfields will be particularly beneficial for aframaxes and, to a lesser extent, suezmaxes.
Nolan
