Forgotten About Libya? Short Answer: Gaddafi's Winning..

So Much For Libyan Rebel Oil Exports: Gaddafi Forces Destroy Last Fuel Tanks Under Rebel Control; NATO Land Offensive Now Unavoidable

And so the badly thought out experiment to supply Libyan rebels with a central bank, to be used to fund an "alternative" fuel industry comes to a prompt and fiery end. Reuters reports that "Libyan government forces destroyed four fuel storage tanks and set several others ablaze in rebel-held Misrata, dealing a blow to the port city's ability to withstand a government siege, rebels said on Saturday." Not surprisingly this fits in perfectly with the assumption first postulated by Zero Hedge that Gaddafi will destroy his entire oil infrastructure before letting it fall into "enemy" hands. This likely marks the end of the Libyan rebellion and will force NATO to launch a land offensive or suffer a crushing blow to its already shaky reputation as globocop, especially now that the US is in theory at least, out of the air campaign against Gaddafi. Which means that the boots on the ground are soon coming.
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And while NATO ponders how to best break to the world that it has failed in Phase 1 of the Libyan offensive, it appears that 1.6 million of barrels of oil will be out of the supply system for a long time. Furthermore, with developments in Syria and Yemen getting worse by the day, we are confident that geopolitical worries will once again trump margin hikes, and crude will promptly return in the triple digits within a week.

Tunisia warns Libya over shelling of border town

Tunisia warned Libya that it considered the shelling of a border town Saturday "extremely dangerous" and said it would take all necessary measures to protect its sovereignty.

Close to 100 shells or mortar rounds fell on or near the Tunisian border town of Dehiba Saturday, causing no injuries but doing damage to one house, a Reuters witness said. The shelling sent residents scurrying for safety.

The town has been hit repeatedly by stray shells in recent weeks as forces loyal to Libya's Muammar Gaddafi battle rebels for control of the Dehiba-Wazzin border crossing.

Just because the news isn't covering Libya anymore doesn't mean the Libyan rebels themselves aren't forgetting their countrymen, because they are..

Libya Roundup, March 4, 2011

Reality leads US to temper its tough talk on Libya

The Obama administration is tempering its tough talk on Libya with a dose of reality, explaining that even a no-fly zone over the country would require a military attack on Moammar Gadhafi's regime. Two leading senators on defense matters responded Thursday by urging a strong U.S. stance aiding Gadhafi's opposition.

The Pentagon is making it clear that it doesn't want war.

Statements Wednesday by Defense Secretary Robert Gates and Secretary of State Hillary Rodham Clinton illustrated the administration's effort to rein in "loose talk" about military options to force Gadhafi from power. It was an acknowledgement that, short of an unlikely military offensive by a U.S.-led coalition, the options for international action to stem the violence appeared highly limited, even as armed rebels pressed their fight against troops still loyal to the Gadhafi regime.

Report: Gadhafi's warplanes attack Libya rebels

Moammar Gadhafi's forces renewed air attacks on rebels in Libya Friday as both sides struggled for control of a strategic coastal road and oil industry facilities.


Bombs were dropped on the oil terminal town of Brega in the east of the country, the Al-Arabiya news network reported.

And rebel volunteers guarding a military base in the eastern town of Ajdabiya told Reuters that a Libyan warplane had dropped bombs just beyond the walls of the base Friday but did not hit it. 

"We were sat here, heard the jet, then the explosion and the earth shook. They fell outside the walls," said Hassan Faraj, who was guarding an ammunitions store at the Haniyeh base.

Uh-Huh..  Libya bombings were only to 'frighten' rebels: Gadhafi son

Bomb attacks on Brega harbour were intended to scare rebels fighting Moamer Gadhafi into leaving Libya's oil and gas hub, his son Seif Al-Islam said late Thursday.


"The bombs were just to frighten them to go away," Gadhafi told Britain's Sky News. "There is no city there, the city of Brega is miles away. I am talking about the harbour, only oil refinery there."

Libyan rebels braced for attacks ahead of anti-Gaddafi protests

Tripoli/Cairo - Libyan rebels were braced for more attacks by forces loyal to leader Moamar Gaddafi on Friday as they prepared for mass protests across the country.



Witnesses in Libya's third largest city, Misurata, said they aimed to have a 1-million-strong march and that some of them would head for Tripoli, where Gaddafi remains in control.


Opposition forces in the capital have also called for mass protests, set to begin at the city's mosques after traditional Friday prayers.

Gadaffi faces investigation over killings..  From the I.C.C...

The International Criminal Court (ICC) has decided to investigate Libya’s leader over the killings of hundreds of civilians during uprisings across the country. Luis Moreno-Ocampo, chief prosecutor at the ICC, concluded there was enough evidence to warrant and investigation of Gadaffi and his closest allies.

It doesn't really have to, but Oil rises to near $103 as Libya conflict escalates

 Oil prices rose to near $103 a barrel Friday in Asia as Libyan government and rebel forces dug in amid fierce fighting, raising investor fears of protracted oil output cuts in the OPEC nation.

Again:  The price of oil doesn't have to change, but Speculators can't control their greed.  Time to reign 'em in..