Tripoli Libya's National Oil Corporation (NOC) has denied its eastern subsidiary has reduced oil production due to protests that have closed off its headquarters for nearly two weeks but the unit maintained Sunday that it had cut output.

A spokesman for Benghazi-based Arabian Gulf Oil Company (Agoco) said on Saturday it had cut output by 30,000 barrels per day since Thursday, in a setback for Libya's oil industry, which has recovered well since the end of last year's conflict that forced out Muammar Gaddafi.

In a statement on its website, the NOC said Agoco's crude oil production "remains the same".

An Agoco spokesman reiterated yesterday that production was at 340,000 bpd from 370,000 bpd earlier in the week.

Protesters have prevented employees from entering Agoco's office since April 23, calling for more transparency over how Libya's new rulers are spending its money and demanding more jobs for young people.

Meetings have been held between civil society groups and the demonstrators, but these have failed to end the protests. Agoco had threatened to cut production if no solution was found by May 3.