Changes sourcing in first para and headline, adds comments, backgroundBENGHAZI, Libya, Jan 21 (Reuters) - Production at Libya's Sharara oilfield restarted on Sunday, state oil company NOC said, after protesters ended a sit-in that had halted output since early January. Sharara field is one of Libya's largest, with a capacity of 300,000 barrels per day, but has been a frequent target for local and broader political protests. It is run by NOC via the Acacus company, with Spain's Repsol REP.MC France's Total TTEF.PA, Austria's OMV OMVV.VI and Norway's Equinor EQNR.OL. The South refinery contract was signed in March.2023 between NOC's subsidiary Zallaf and U.S.-based Honeywell for engineering work. The South refinery will produce cooking gas, jet fuel and other products, including 1.4 million litres a day of petrol and 1.1 million litres a day of diesel, NOC said previously.