* State-run NOC increasing oil exports from ports
* Conflict left Libya with competing institutions
* Eastern authorities resist UN-backed government
By Ayman al-Warfalli
BENGHAZI, Libya, Oct 7 Authorities in eastern
Libya will allow revenues from rising oil production to be paid
into the central bank in Tripoli even though they do not
recognise the bank's governor there, the head of Libya's eastern
parliament told Reuters in an interview.
The pledge is a sign authorities in the east, who have
resisted a U.N.-backed unity government in Tripoli, may not try
to take direct control of oil resources and revenues, at least
for now. They have previously failed in attempts to export oil
Agila Saleh, president of the east's House of
Representatives (HOR), said production should be managed by a
unified National Oil Corporation (NOC) and revenues distributed
fairly across Libya.
His comments came after the state-run NOC reopened major oil
terminals seized last month by eastern military commander
Khalifa Haftar, boosting national production by more than
200,000 barrels per day (bpd).
"The revenues of oil will be deposited in the central bank
of Libya and will be for all Libyans according to geographic
distribution and density of population," Saleh said. "All
Libyans benefit from this wealth."
The HOR has been based in the eastern city of Tobruk since
2014, when rival armed factions took control of Tripoli,
deepening the political turmoil and conflict that emerged after
an uprising toppled Muammar Gaddafi in 2011.
Libya was left with two competing sets of institutions in
Tripoli and the east, including rival branches of the NOC and
the central bank.
The U.N.-backed government is now operating from Tripoli,
but has failed to win endorsement from the east. Its leadership
is currently drawing up a new list of ministers after seeing two
proposed cabinets rejected by the HOR.
The NOC announced a deal to unite in July. The central bank
is still divided, though NOC revenues continued to go through
the bank's Tripoli headquarters throughout Libya's conflict.
Saleh he was planning to meet NOC Chairman Mustafa Sanalla
and eastern central bank governor Ali Hibri, noting the HOR had
previously sacked Tripoli central bank governor Sadiq al-Kabir.
"We will work to draft a new agreement with the (eastern)
parliament's finance committee for harmonising operations in the
Libyan central bank and the NOC," he said.
Conflict, political disputes and local protests had reduced
Libya's oil output to a fraction of the 1.6 million bpd the OPEC
member was producing before the 2011 uprising.
Following the NOC's reopening of terminals seized by Haftar,
national production rose this week above 500,000 bpd, from lows
over the summer of between 200,000 and 300,000 bpd.
The European Union and the United States have imposed
sanctions on Saleh, accusing him of blocking political progress
in Libya. HOR members who support the U.N.-backed Government of
National Accord (GNA) have said they were repeatedly obstructed
from holding or participating in votes to approve it.
Saleh dismissed the sanctions as a "violation of Libyan
sovereignty and democracy". He said he would accept civil
society observers to monitor any future vote, but they had to be
"The government has to be small, given the condition of the
country, and it has to take into account all parts of Libya,
east and west, and all constituents of the Libyan people," he
(Writing by Aidan Lewis; Editing by Patrick Markey and Mark