*
No confirmation from recognised government or NOC
*
Waha Oil says plans to reduce output gradually
*
No orders to reduce output yet, two sources tell Reuters
*
Tensions over central bank, bank says suspending
operations
*
Force majeure declared at Sharara earlier citing protests
(Adds central bank temporarily halting services, paragraphs
11-14)
By Ayman Werfali
BENGHAZI, Aug 26 (Reuters) - The government in eastern
Libya announced on Monday that all oilfields would be closed
down and production and exports halted, while there was no word
from the country's internationally recognised government in
Tripoli.
The National Oil Corp (NOC), which controls the country's
oil resources, also provided no confirmation.
NOC subsidiary Waha Oil Company, however, announced it
planned to gradually reduce output and warned of a complete halt
to production citing "protests and pressures".
Waha, which operates a joint venture with TotalEnergies
and ConocoPhillips ( COP ), has a production capacity
of about 300,000 barrels per day (bpd) which is exported through
the eastern port of Es Sider.
It operates five main fields in the southeast including Waha
which produces more than 100,000 bpd as well as Gallo, Al-Fargh,
Al-Samah and Al-Dhahra.
Most of Libya's oilfields are in the east, which is under
the control of Khalifa Haftar who leads the Libyan National Army
(LNA).
The Benghazi government did not specify for how long the
oilfields could be closed.
Two engineers at Messla and Abu Attifel told Reuters on
Monday that production was continuing and there had been no
orders to halt output.
POWER STRUGGLE
Libyan factions are locked in a power struggle over control
of the central bank and the country's oil revenue.
The latest round of tensions emerged after efforts by
political factions to oust the Central Bank of Libya (CBL) head
Sadiq al-Kabir, with rival armed factions mobilising on each
side.
The Tripoli-based CBL said on Monday that it suspended its
services at home and abroad "due to exceptional disturbance".
The central bank is the only internationally recognised
depository for Libyan oil revenue, which provide vital economic
income for the country.
"The Central Bank of Libya hopes that its ongoing
efforts in cooperation with all relevant authorities will allow
it to resume its normal activity without further delay," it said
in a statement.
It temporarily shut down all operations last week after
a senior bank official was kidnapped but
resumed operations
the next day after the official was released.
A major oil producer, Libya has had little stability since a
2011 NATO-backed uprising. It split in 2014 with eastern and
western factions that eventually drew in Russian and Turkish
backing.
The NOC declared force majeure earlier this month at one of
the country's largest oilfields, Sharara, located in Libya's
southwest with a capacity of 300,000 bpd, due to protests.
Libya's oil production before Sharara's closure stood at
about 1.2 million bpd.
El Feel in southwestern Libya would be the only functioning
oilfield, with a capacity of 130,000 bpd, if production is
halted in the east.