Rebel forces that captured towns from Nalut to Kikla in Libya’s western Nafusa mountains cut a key crude oil pipeline that feeds one of the regime’s major refineries in the town of al-Zawiya, U.S. officials told The Associated Press. They cited U.S. intelligence estimates that fuel shortages could occur within as little as a month.
The cash shortage follows Turkey’s move last week to seize hundreds of millions of dollars held in the Arab Turkish Bank, the U.S. officials said. They spoke on condition of anonymity to discuss matters of intelligence.
While the Libyan strongman could not access actual cash, he had been issuing letters of credit to pay his debtors, including fuel importers, the U.S. officials said.
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