The round of talks held in Tripoli, Libya on Thursday evening between Libya and France culminated with a memorandum of cooperation being signed between the two sides on training, equipping, and security cooperation fields.
The talks were headed by the Libyan Minister for Public Security, and the French Deputy Prime Minister and Minister of the Interior, Nicolas Sarkozy, and were attended by specialized experts from both countries.
The round of talks covered an agenda that encompassed several topics including cooperation in the fight against terrorism, organized crime, illegal immigration, training and security rehabilitation, as well as exchange of experiences so as to strengthen cooperation in these fields at the bilateral level, as well as at the common level within the framework of both the African Union and the European Union
10/06/2005
French Deputy Prime Minister Nicolas Sarkozy arrives in Libya
The French Deputy Prime Minister Nicolas Sarkozy, who is also the Interior Minister, arrived in Libya on Thursday afternoon with his accompanying delegation.
He was received at Tripoli's Mitega International Airport by Libya's Minister for Public Security, a number of Directors of Departments at the Public Security Ministry of Libya, a number of officers of Public Security and the ambassador of France to Libya.
In a statement to Libya's JANA news agency reporter, Sarkozy said his visit is in line with the cooperation between the two countries, especially in the field of security. He pointed out the importance of coordination in the field of fighting illegal immigration.France's Interior Minister Sarkozy also expressed his country's support to convene an international conference to fight the phenomenon of illegal immigration, and the need for a comprehensive development plan in the poor source countries in Africa. Sarkozy said France would support such a development plan, and would contribute to the efforts made for the development of these African countries.
He was received at Tripoli's Mitega International Airport by Libya's Minister for Public Security, a number of Directors of Departments at the Public Security Ministry of Libya, a number of officers of Public Security and the ambassador of France to Libya.
In a statement to Libya's JANA news agency reporter, Sarkozy said his visit is in line with the cooperation between the two countries, especially in the field of security. He pointed out the importance of coordination in the field of fighting illegal immigration.France's Interior Minister Sarkozy also expressed his country's support to convene an international conference to fight the phenomenon of illegal immigration, and the need for a comprehensive development plan in the poor source countries in Africa. Sarkozy said France would support such a development plan, and would contribute to the efforts made for the development of these African countries.
10/05/2005
Malta Parliament: Libya is conscious of our problems in irregular immigration – Minister Tonio Borg
Speaking in parliament of Malta yesterday, Home Affairs and Justice Minister Tonio Borg said the proposed amendments to the Refugees Act were being made in the light of the continuing crisis in irregular immigration that was currently plaguing the country. He said it was not correct to state that the problem had increased after we joined the EU as had been stated in certain sections of the media and added that a detention policy was here to stay.
The minister said that unrest at closed detention centres was by and large caused by those immigrants who were to be refused refugee status. He said the opposition and the government were in agreement over policy on irregular immigration which would be discussed at a task force meeting in the coming days.
Minister Borg said one had to attempt to decrease international obligations on irregular immigration without affecting our country’s position. He referred to the case of the repatriation of Eritrean refugees stating that it was impossible to go by the recommendations of Amnesty International in the choosing of countries for such repatriation.
Referring to the proposed changes to the International Search and Rescue Convention, Minister Borg said that we must only intervene in cases where there were vessels in distress or in difficulty. He said that there were over 600 people who died in the Mediterranean Sea in situations where rescue operations did not arrive in time.
The Minister said that Malta had two options; either to refuse to abide by the new international regulations or to reduce the size of our search and rescue area, the latter of which was being explored at length by the Maltese government.
Referring to the ongoing discussions between Libya and Malta, the minister said that the Libyans had no problem accepting back immigrants who left illegally from their shores. He said that while accepting the difficulties that Libya had in monitoring its own coastline, this country should be assisting us in this massive problem. He referred to his recent meeting in Morocco where he held talks with a Libyan government representative on the problems facing Malta in the field of irregular immigration.
Commenting on the repatriation agreement between Libya and Italy, the Minister said this was worthless as in the European Union, the Dublin 2 agreement holds sway. He said it was practically impossible to stem the flow of those persons who were leaving their countries for a better life but one had to be practical in the circumstances.
Minister Borg said these amendments to the Refugees Act were being made to attempt to eliminate the abuses that were taking place in the system. He quoted various cases where persons applied for refugee status when they had absolutely no reason to and this situation was prejudicing the genuine cases.
Referring to the detention facilities at Safi, Minister Borg said that there would be the capacity for 1,000 people but the situation was so dire that tents had to be put up. Thirty three per cent of immigrants in Malta were from Sudan or about 500 in all and if they did not need to stay here, they would be repatriated, whatever the cost, he added.
The government would not tolerate those who resist repatriation if they did not need to stay here, the minister said. The bill also provides new powers for the Police Commissioner to re-arrest those immigrants who do not cooperate and the possibility of having two Commissioners for Refugees, he said.
Minister Borg said that the powers of the Immigration Commissioner would also be strengthened and added that consultation on new legislation with the opposition is held in parliament and not before a bill is proposed.
Labour spokesperson for Justice and Home Affairs, Gavin Gulia said the problem of irregular immigration was a national problem that required a national remedy. He said that the opposition had always treated this problem as a national one and had never attempted to gain political mileage out of the situation. Dr Gulia said there were various misconceptions among the people that were downgrading the debate on irregular immigration. He said the Geneva Convention of 1951 was the current international legislation on refugees and this stated precisely that those entitled for this status were persons who escaped torture, political persecution or racial discrimination.
The Labour spokesperson said that political persecution was now superseded by economic migration which was partially created by globalisation as the gap between rich and poor countries continued to grow. He said the Geneva Convention did not provide any remedy for such economic migrants and that there was a lacuna in international legislation on this subject.
Dr Gulia said the public must understand that political migrants are to be accorded all protection but economic migrants have to be repatriated. Reacting to Minister Borg’s speech, Dr Gulia said it was true that the problem of illegal immigration did not crop up after EU membership and it was also a fact that most of the immigrants wanted to go to the European mainland and not stay in Malta. He also referred to certain reports in the media that tended to be pro-immigrant and called for a balanced view on the subject. Dr Gulia said that detention had to be applied in the case of illegal immigrants as it is in the law and there was no other option in this regard. He said that the problem of accommodation was not only in closed centres but also in open centres as the number of immigrants continued to increase.
The Labour spokesperson said it was not the case that initiatives such as the Jesuit Refugee Service and the Peace Lab were controlled by the Church and called for more participation by this institution as the problem was also a moral one. He applauded the government’s decision to immediately repatriate the batch of 140 immigrants who arrived last week and who were clearly economic migrants but questioned whether these were forcibly sent back. Dr Gulia said that Libya should sign a repatriation agreement with Malta as it did with Italy. He said that although our Search and Rescue area had been slightly reduced, it was still very large and we would now in effect be responsible for those emergencies that occur in this area. He stated that the country closest to the incident should be responsible for the rescue operation.
The Labour spokesperson asked how the repatriation agreement between Italy and Libya was worthless if the Italians wanted it so much. Dr Gulia said the opposition remained committed to achieving consensus on the issue of irregular immigration adding that it was the Labour Party who had consistently come out with the best proposals on the subject adding that most of the suggestions made in the Conference on Irregular Immigration were actually now in the amendments to the Refugee Act. He also appealed to the government to include the opposition in a joint front for its representations to the international community on the issue.
Dr Gulia called on the EU to be more cooperative and assist Malta with burden sharing adding that he was worried that the detention period for immigrants was no longer to be kept at the discretion of the country in which immigrants were arriving and which was to be reduced to six months instead of a year. He said the opposition was in agreement on the increase in refugee commissioners but expressed reservations on the fact that these were part timers. How can one address a national problem with a dilettantesque mechanism, Dr Gulia asked? Dr Gulia said that racist elements were also present in Malta. He called for an end to such racism against immigrants and urged all to be tolerant on the subject as every person has human dignity.
Author: Gerald Fenech
Source: Malta Independent
The minister said that unrest at closed detention centres was by and large caused by those immigrants who were to be refused refugee status. He said the opposition and the government were in agreement over policy on irregular immigration which would be discussed at a task force meeting in the coming days.
Minister Borg said one had to attempt to decrease international obligations on irregular immigration without affecting our country’s position. He referred to the case of the repatriation of Eritrean refugees stating that it was impossible to go by the recommendations of Amnesty International in the choosing of countries for such repatriation.
Referring to the proposed changes to the International Search and Rescue Convention, Minister Borg said that we must only intervene in cases where there were vessels in distress or in difficulty. He said that there were over 600 people who died in the Mediterranean Sea in situations where rescue operations did not arrive in time.
The Minister said that Malta had two options; either to refuse to abide by the new international regulations or to reduce the size of our search and rescue area, the latter of which was being explored at length by the Maltese government.
Referring to the ongoing discussions between Libya and Malta, the minister said that the Libyans had no problem accepting back immigrants who left illegally from their shores. He said that while accepting the difficulties that Libya had in monitoring its own coastline, this country should be assisting us in this massive problem. He referred to his recent meeting in Morocco where he held talks with a Libyan government representative on the problems facing Malta in the field of irregular immigration.
Commenting on the repatriation agreement between Libya and Italy, the Minister said this was worthless as in the European Union, the Dublin 2 agreement holds sway. He said it was practically impossible to stem the flow of those persons who were leaving their countries for a better life but one had to be practical in the circumstances.
Minister Borg said these amendments to the Refugees Act were being made to attempt to eliminate the abuses that were taking place in the system. He quoted various cases where persons applied for refugee status when they had absolutely no reason to and this situation was prejudicing the genuine cases.
Referring to the detention facilities at Safi, Minister Borg said that there would be the capacity for 1,000 people but the situation was so dire that tents had to be put up. Thirty three per cent of immigrants in Malta were from Sudan or about 500 in all and if they did not need to stay here, they would be repatriated, whatever the cost, he added.
The government would not tolerate those who resist repatriation if they did not need to stay here, the minister said. The bill also provides new powers for the Police Commissioner to re-arrest those immigrants who do not cooperate and the possibility of having two Commissioners for Refugees, he said.
Minister Borg said that the powers of the Immigration Commissioner would also be strengthened and added that consultation on new legislation with the opposition is held in parliament and not before a bill is proposed.
Labour spokesperson for Justice and Home Affairs, Gavin Gulia said the problem of irregular immigration was a national problem that required a national remedy. He said that the opposition had always treated this problem as a national one and had never attempted to gain political mileage out of the situation. Dr Gulia said there were various misconceptions among the people that were downgrading the debate on irregular immigration. He said the Geneva Convention of 1951 was the current international legislation on refugees and this stated precisely that those entitled for this status were persons who escaped torture, political persecution or racial discrimination.
The Labour spokesperson said that political persecution was now superseded by economic migration which was partially created by globalisation as the gap between rich and poor countries continued to grow. He said the Geneva Convention did not provide any remedy for such economic migrants and that there was a lacuna in international legislation on this subject.
Dr Gulia said the public must understand that political migrants are to be accorded all protection but economic migrants have to be repatriated. Reacting to Minister Borg’s speech, Dr Gulia said it was true that the problem of illegal immigration did not crop up after EU membership and it was also a fact that most of the immigrants wanted to go to the European mainland and not stay in Malta. He also referred to certain reports in the media that tended to be pro-immigrant and called for a balanced view on the subject. Dr Gulia said that detention had to be applied in the case of illegal immigrants as it is in the law and there was no other option in this regard. He said that the problem of accommodation was not only in closed centres but also in open centres as the number of immigrants continued to increase.
The Labour spokesperson said it was not the case that initiatives such as the Jesuit Refugee Service and the Peace Lab were controlled by the Church and called for more participation by this institution as the problem was also a moral one. He applauded the government’s decision to immediately repatriate the batch of 140 immigrants who arrived last week and who were clearly economic migrants but questioned whether these were forcibly sent back. Dr Gulia said that Libya should sign a repatriation agreement with Malta as it did with Italy. He said that although our Search and Rescue area had been slightly reduced, it was still very large and we would now in effect be responsible for those emergencies that occur in this area. He stated that the country closest to the incident should be responsible for the rescue operation.
The Labour spokesperson asked how the repatriation agreement between Italy and Libya was worthless if the Italians wanted it so much. Dr Gulia said the opposition remained committed to achieving consensus on the issue of irregular immigration adding that it was the Labour Party who had consistently come out with the best proposals on the subject adding that most of the suggestions made in the Conference on Irregular Immigration were actually now in the amendments to the Refugee Act. He also appealed to the government to include the opposition in a joint front for its representations to the international community on the issue.
Dr Gulia called on the EU to be more cooperative and assist Malta with burden sharing adding that he was worried that the detention period for immigrants was no longer to be kept at the discretion of the country in which immigrants were arriving and which was to be reduced to six months instead of a year. He said the opposition was in agreement on the increase in refugee commissioners but expressed reservations on the fact that these were part timers. How can one address a national problem with a dilettantesque mechanism, Dr Gulia asked? Dr Gulia said that racist elements were also present in Malta. He called for an end to such racism against immigrants and urged all to be tolerant on the subject as every person has human dignity.
Author: Gerald Fenech
Source: Malta Independent
10/04/2005
5+5 Dialogue in Rabat to fight terror and illegal immigration
Ministers of Interior of West Mediterranean dialogue 5+5, held a meeting on Monday in the Moroccan capital of Rabat to discuss terrorism and illegal immigration.
A number of cooperation agreements in the field of fighting illegal immigration, drugs, organized crime, promoting common peace, civil protection and cooperation were singed in the meeting. Libya underlined that those who cross desert, sea to Sicily island, and to the doors of Ceuta and Milal aren't terrorists and they definitely are not tourists, but they are seeking to live, but fell a prey to terrors networks that traded on them illegal, therefore, the immigration phenomenon must be treated from its roots, knowing its economic and social reasons and security dimensions.
Moroccan Interior Minister, Mustafa al Sahal announced in press conference after the meeting that the West Mediterranean Minister of Interior have reached a complete comprehensive plan for cooperation between North and South to fight illegal immigration. He indicated that this meeting confirmed the importance of laying down a special plan by assisting sub-Saharan countries this requires the engagement of the EU in the programme.
A number of cooperation agreements in the field of fighting illegal immigration, drugs, organized crime, promoting common peace, civil protection and cooperation were singed in the meeting. Libya underlined that those who cross desert, sea to Sicily island, and to the doors of Ceuta and Milal aren't terrorists and they definitely are not tourists, but they are seeking to live, but fell a prey to terrors networks that traded on them illegal, therefore, the immigration phenomenon must be treated from its roots, knowing its economic and social reasons and security dimensions.
Moroccan Interior Minister, Mustafa al Sahal announced in press conference after the meeting that the West Mediterranean Minister of Interior have reached a complete comprehensive plan for cooperation between North and South to fight illegal immigration. He indicated that this meeting confirmed the importance of laying down a special plan by assisting sub-Saharan countries this requires the engagement of the EU in the programme.
Total Makes New Oil Discovery in Libya’s Block NC 186
Total (24%) and partners Repsol YPF (operator), OMV and Saga have made a new oil discovery in Libya’s Block NC 186. Well I-1, drilled in the Murzuq Basin 800 kilometers south of Tripoli, reached a total depth of 1,700 metres and found a significant oil column in the Mamuniyat sandstone formation.
During production testing, the well flowed at a rate up to 2,060 barrels per day of 40° API oil. It is the fifth discovery made in this block.Two of the four discoveries in NC 186 have come on stream over the last two years with a combined production of 45,000 barrels of oil per day. The field development plan for the third discovery has been submitted to the Libyan National Oil Company (NOC) for approval, while the field development plan for the latest discovery is currently under preparation.
Crude oil production in the Murzuq Basin started end 1996 from the adjacent El Sharara fields in block NC 115 which produce around 200,000 barrels per day of sweet light oil and in which Total holds a 30% stake in the foreign consortium.
The latest discovery strengthens Total’s position in Libya, where the Group is operator of the Al Jurf offshore field (40,000 barrels per day), and of the Mabruk field (15,000 barrels per day) in the western part of the Sirte Basin. In addition, the Group is exploring in the Murzuq and Sirte Basins.
During production testing, the well flowed at a rate up to 2,060 barrels per day of 40° API oil. It is the fifth discovery made in this block.Two of the four discoveries in NC 186 have come on stream over the last two years with a combined production of 45,000 barrels of oil per day. The field development plan for the third discovery has been submitted to the Libyan National Oil Company (NOC) for approval, while the field development plan for the latest discovery is currently under preparation.
Crude oil production in the Murzuq Basin started end 1996 from the adjacent El Sharara fields in block NC 115 which produce around 200,000 barrels per day of sweet light oil and in which Total holds a 30% stake in the foreign consortium.
The latest discovery strengthens Total’s position in Libya, where the Group is operator of the Al Jurf offshore field (40,000 barrels per day), and of the Mabruk field (15,000 barrels per day) in the western part of the Sirte Basin. In addition, the Group is exploring in the Murzuq and Sirte Basins.
Uganda, Libya seal National Housing Corporation deal
Uganda and Libya on Friday signed an agreement transferring 49% stake in the National Housing and Construction corporation (NHCC) to the Libyan Arab Foreign Investment company (LAFICO), write Alfred Wasike and Mikaili Sseppuya.
Acting finance minister Mwesigwa Rukutana and Hamed El Houderi, the LAFICO general manager (participation department), signed for Uganda and the Libyan government respectively, at the finance ministry boardroom in Kampala.
Libya has appointed LAFICO as its agent. The agreement finalised successful negotiations for a debt for equity swap between the two countries in which Libya agreed to cancel the interest and penalties on Uganda’s debt amounting to US$88m (sh162.8b) of a US$184m (sh340.4b) debt.
The minority shareholding LAFICO has taken over is worth US$20.3m (sh37.5b) and followed the Privatisation Unit (PU) Statute, under which the Government of Uganda retains the majority shares in NHCC. Present at the signing were the acting deputy Secretary to the Treasury, Keith Muhakanizi, the Libyan ambassador, the director general of LAFICO, Ahmed Amaer, the director of PU, Michael Opagi and Charles Odere of Lex Associates.
President Yoweri Museveni recently visited Libya on his way from attending the 60th United Nations Summit in New York. Cabinet recently approved the deal in which Libya acquired the shares in the parastatal as part of the deal for Uganda to pay off its loans.
Source: New Vision
Acting finance minister Mwesigwa Rukutana and Hamed El Houderi, the LAFICO general manager (participation department), signed for Uganda and the Libyan government respectively, at the finance ministry boardroom in Kampala.
Libya has appointed LAFICO as its agent. The agreement finalised successful negotiations for a debt for equity swap between the two countries in which Libya agreed to cancel the interest and penalties on Uganda’s debt amounting to US$88m (sh162.8b) of a US$184m (sh340.4b) debt.
The minority shareholding LAFICO has taken over is worth US$20.3m (sh37.5b) and followed the Privatisation Unit (PU) Statute, under which the Government of Uganda retains the majority shares in NHCC. Present at the signing were the acting deputy Secretary to the Treasury, Keith Muhakanizi, the Libyan ambassador, the director general of LAFICO, Ahmed Amaer, the director of PU, Michael Opagi and Charles Odere of Lex Associates.
President Yoweri Museveni recently visited Libya on his way from attending the 60th United Nations Summit in New York. Cabinet recently approved the deal in which Libya acquired the shares in the parastatal as part of the deal for Uganda to pay off its loans.
Source: New Vision
Libya may seek help to revive oil fields
Libya, Africa’s second-largest oil producer, may ask foreign companies such as Royal Dutch Shell plc to help revive and expand output at existing fields, which are losing pressure after more than four decades in production.
The plan would allow the companies to own part of each barrel pumped and book reserves that lie underground in so-called production-sharing agreements, Prime Minister Shokri Ghanem said in an interview.
It would be a first in Libya and differ from the policies of most other Organisation of Petroleum Exporting Countries (OPEC) nations, which merely pay the oil companies a fee for such services, which is less attractive than Libya’s potential for companies to legally own and sell the crude.
After 11 years under United Nations sanctions, the North African state this year auctioned drilling rights to companies including Shell, Exxon Mobil Corp, Occidental Petroleum Corp and Eni SpA, part of a bid to double production. Libya and other Opec members are seeking foreign help to expand output to meet rising oil demand.
“The success of the open bidding policy will make us consider enlarging the sharing process,” Ghanem said.
“There is no decision now, but the possibility of sharing in producing fields, and in fields that are discovered but not in production, will be studied.”
Libya seeks to attract US$30 billion (US$1 = RM3.77) in investments to increase its crude-oil production to three million barrels a day in 2015 from 1.7 million now.
Source: Bloomberg
The plan would allow the companies to own part of each barrel pumped and book reserves that lie underground in so-called production-sharing agreements, Prime Minister Shokri Ghanem said in an interview.
It would be a first in Libya and differ from the policies of most other Organisation of Petroleum Exporting Countries (OPEC) nations, which merely pay the oil companies a fee for such services, which is less attractive than Libya’s potential for companies to legally own and sell the crude.
After 11 years under United Nations sanctions, the North African state this year auctioned drilling rights to companies including Shell, Exxon Mobil Corp, Occidental Petroleum Corp and Eni SpA, part of a bid to double production. Libya and other Opec members are seeking foreign help to expand output to meet rising oil demand.
“The success of the open bidding policy will make us consider enlarging the sharing process,” Ghanem said.
“There is no decision now, but the possibility of sharing in producing fields, and in fields that are discovered but not in production, will be studied.”
Libya seeks to attract US$30 billion (US$1 = RM3.77) in investments to increase its crude-oil production to three million barrels a day in 2015 from 1.7 million now.
Source: Bloomberg
Oil & Gas Journal: Libya completes second licensing round
One hundred twenty foreign oil companies submitted offers for certain oil and gas E&P contracts in Libya in the second exploration licensing round since the normalization of business relations between Libya and the United States. Libya is offering contracts with the National Oil Corp. (NOC), the state-owned integrated oil company that controls the country's petroleum industry.
Nineteen of the plots offered were in areas already producing oil such as Sirte (center of the country); Ghadames (west); and Murzuq (southwest). The others are in Cyrenaica and Kufra (both in the east).
Exxon Mobil Corp.'s subsidiary, ExxonMobil Libya Ltd., won one contract for exploration in the center of the country in Cyrenaica Basin Contract Area 44 along with Japanese giant Nippon Oil Corp. and PT Pertamina of Indonesia. Contract Area 44, which comprises 2.5 million acres, is located in the Cyrenaica Basin offshore in water depths ranging from approximately 10 feet to more than 10,000 feet. ExxonMobil was the only US oil company named as a high-bidder in the license round.
BG Group won exploration licenses in Area 123 (blocks 1 & 2), and Area 171, (blocks 1, 2, 3 & 4). BG will assume 100% ownership and operatorship of the exploration and production sharing agreements (EPSA) for Area 123 (blocks 1 & 2) and a 50% interest in the EPSA for Area 171 (blocks 1, 2, 3 & 4) in partnership with Statoil (operator). The award of the three licenses is subject to ratification by the General People's Committee of Libya, following which an aggregate cash consideration of $15.5 million will be payable on the signing of the EPSAs.
Blocks 1 and 2 of Area 123 are located onshore in the Sirte basin and cover approximately 4,750 sq km in total. The EPSA work obligation for both blocks involves acquiring seismic and one exploration well on each block. Area 171, which contains four blocks, is located onshore in the Kufra basin and covers approximately 11,000 sq km. The EPSA work obligation for this Area involves acquiring seismic and two exploration wells.
Inpex in partnership with Total was the winning bidder for the Area 042 Block 2 & 4. The block is located in the Cyrenaica basin, in the northeast part of the country and covers 3,419 sq km.
Inpex has a 40% participating interest in the block and Total is the operator (60%). Inpex and Total will execute the EPSA of the block with NOC in November.
Norsk Hydro won a new 100% percent-operated exploration license in the Murzuq basin in Libya. Block 146-1 is southeast of Hydro's prolific E&P portfolio in the Murzuq Basin.
The second bid round attracted 48 international oil companies submitting a total of 99 bids for 26 blocks. Block 146-1, which was the most contested block in the Murzuq bsin, attracted eight bids.
Hydro has been active in Libya since early 1990s and today has oil production from three fields and substantial exploration activity. Two more fields will begin production in 2006.
Statoil was awarded operatorship for two. The group will have a 100% holding in license Cyrenaica 94 and a 50-50 share with British Gas (BG) in license Kufra 171.
The bids were based on a so-called "X factor", which is the percentage share Statoil needs to cover its investments and return, with a signature bonus in addition. The X factor for license 94 was 24.9%. Statoil also has to pay a signature bonus of $2.95 million. For license 171, the X factor was 19.8% and the signature bonus for Statoil and BG totaled $1.001 million.
"Competition for blocks in Libya is fierce, and we're very pleased to get our first operatorships in this country," says Brian Mitchener, vice president for global exploration in Africa in Statoil's international E&P business area.
"We plan to shoot seismic in 2007 and expect to drill the first exploration well in 2008 at the earliest." In license 94, the group is committed to gathering 3,000 km of 2D seismic and drilling one well. In license 171, the group will shoot 2,000 km of 2D seismic and drill two wells.
Eni won four exploration permits. The exploration permits cover an overall area of 17,876 sq km and are located in the Murzuk and Kufra southern basins, in the southern part of the country. As a result of the permits acquired in Murzuk, Eni has strengthened its position in a high potential region where the El Feel giant field has already been producing.
The area awarded in the Kufra basin represents an important commitment in an equally high potential territory in the southeastern part of the Libyan desert. The exploration activity of Eni includes six new exploration wells and 7,500 km of seismic surveys.
Eni has been awarded the greatest number of permits as an operator in a tender which received applications from over 50 foreign companies.
Eni has been present in Libya for approximately 50 years and has recently completed two major projects in the country on time and within budget, the development of the oil field of El Feel in the Murzuk, which will reach a production of 150,000 boe/d and the Western Libyan Gas Project, which will allow a production of 10 bcm of gas per year, 8 billion of which is to be exported to Italy through the trans-Mediterranean Greenstream pipeline.
In Libya, Eni equity production is about 190,000 boe/d.
Libya has proven reserves of 29.5 Bbbl of oil, the country's main source of revenue. Occidental Petroleum Corp., which has submitted several offers, announced in late July that it had become the first US oil company to resume production in Libya since the US imposed economic sanctions nearly two decades ago.
Nineteen of the plots offered were in areas already producing oil such as Sirte (center of the country); Ghadames (west); and Murzuq (southwest). The others are in Cyrenaica and Kufra (both in the east).
Exxon Mobil Corp.'s subsidiary, ExxonMobil Libya Ltd., won one contract for exploration in the center of the country in Cyrenaica Basin Contract Area 44 along with Japanese giant Nippon Oil Corp. and PT Pertamina of Indonesia. Contract Area 44, which comprises 2.5 million acres, is located in the Cyrenaica Basin offshore in water depths ranging from approximately 10 feet to more than 10,000 feet. ExxonMobil was the only US oil company named as a high-bidder in the license round.
BG Group won exploration licenses in Area 123 (blocks 1 & 2), and Area 171, (blocks 1, 2, 3 & 4). BG will assume 100% ownership and operatorship of the exploration and production sharing agreements (EPSA) for Area 123 (blocks 1 & 2) and a 50% interest in the EPSA for Area 171 (blocks 1, 2, 3 & 4) in partnership with Statoil (operator). The award of the three licenses is subject to ratification by the General People's Committee of Libya, following which an aggregate cash consideration of $15.5 million will be payable on the signing of the EPSAs.
Blocks 1 and 2 of Area 123 are located onshore in the Sirte basin and cover approximately 4,750 sq km in total. The EPSA work obligation for both blocks involves acquiring seismic and one exploration well on each block. Area 171, which contains four blocks, is located onshore in the Kufra basin and covers approximately 11,000 sq km. The EPSA work obligation for this Area involves acquiring seismic and two exploration wells.
Inpex in partnership with Total was the winning bidder for the Area 042 Block 2 & 4. The block is located in the Cyrenaica basin, in the northeast part of the country and covers 3,419 sq km.
Inpex has a 40% participating interest in the block and Total is the operator (60%). Inpex and Total will execute the EPSA of the block with NOC in November.
Norsk Hydro won a new 100% percent-operated exploration license in the Murzuq basin in Libya. Block 146-1 is southeast of Hydro's prolific E&P portfolio in the Murzuq Basin.
The second bid round attracted 48 international oil companies submitting a total of 99 bids for 26 blocks. Block 146-1, which was the most contested block in the Murzuq bsin, attracted eight bids.
Hydro has been active in Libya since early 1990s and today has oil production from three fields and substantial exploration activity. Two more fields will begin production in 2006.
Statoil was awarded operatorship for two. The group will have a 100% holding in license Cyrenaica 94 and a 50-50 share with British Gas (BG) in license Kufra 171.
The bids were based on a so-called "X factor", which is the percentage share Statoil needs to cover its investments and return, with a signature bonus in addition. The X factor for license 94 was 24.9%. Statoil also has to pay a signature bonus of $2.95 million. For license 171, the X factor was 19.8% and the signature bonus for Statoil and BG totaled $1.001 million.
"Competition for blocks in Libya is fierce, and we're very pleased to get our first operatorships in this country," says Brian Mitchener, vice president for global exploration in Africa in Statoil's international E&P business area.
"We plan to shoot seismic in 2007 and expect to drill the first exploration well in 2008 at the earliest." In license 94, the group is committed to gathering 3,000 km of 2D seismic and drilling one well. In license 171, the group will shoot 2,000 km of 2D seismic and drill two wells.
Eni won four exploration permits. The exploration permits cover an overall area of 17,876 sq km and are located in the Murzuk and Kufra southern basins, in the southern part of the country. As a result of the permits acquired in Murzuk, Eni has strengthened its position in a high potential region where the El Feel giant field has already been producing.
The area awarded in the Kufra basin represents an important commitment in an equally high potential territory in the southeastern part of the Libyan desert. The exploration activity of Eni includes six new exploration wells and 7,500 km of seismic surveys.
Eni has been awarded the greatest number of permits as an operator in a tender which received applications from over 50 foreign companies.
Eni has been present in Libya for approximately 50 years and has recently completed two major projects in the country on time and within budget, the development of the oil field of El Feel in the Murzuk, which will reach a production of 150,000 boe/d and the Western Libyan Gas Project, which will allow a production of 10 bcm of gas per year, 8 billion of which is to be exported to Italy through the trans-Mediterranean Greenstream pipeline.
In Libya, Eni equity production is about 190,000 boe/d.
Libya has proven reserves of 29.5 Bbbl of oil, the country's main source of revenue. Occidental Petroleum Corp., which has submitted several offers, announced in late July that it had become the first US oil company to resume production in Libya since the US imposed economic sanctions nearly two decades ago.
10/03/2005
Soccer: Libya prepares for Benin
Libyan coach has called Libya team players to start training for the last round of qualifying games for 2006 world cup.
Libya is meeting Benin on 9 October 2005. The Croatian coach Aylia has chosen Luis Augustine and Samir Abbod as goal keepers, Youins Alamami, Osama Alhamadi, Walis Osman, Mahmoud Maklof, Naji Shoshan, Walid Assbai and Abdul-Salam Azzwawi for defense. Midfield players are Mari Arramli, Abdul-Salam Khamis, Mohammed Assnani, Nadir Attrhoni, Jihad Almuntaser, Tareq Attaieb and Khaled Houseen. For the forward, Aylia selected Assadi Mouamer, Akrim Alhimali, Ahmed Azzwi and Nadir Karra.
Libya is already out of the qualifying matches for 2006, but it is warming up for 2006 African Cup of Nations.
Libya is meeting Benin on 9 October 2005. The Croatian coach Aylia has chosen Luis Augustine and Samir Abbod as goal keepers, Youins Alamami, Osama Alhamadi, Walis Osman, Mahmoud Maklof, Naji Shoshan, Walid Assbai and Abdul-Salam Azzwawi for defense. Midfield players are Mari Arramli, Abdul-Salam Khamis, Mohammed Assnani, Nadir Attrhoni, Jihad Almuntaser, Tareq Attaieb and Khaled Houseen. For the forward, Aylia selected Assadi Mouamer, Akrim Alhimali, Ahmed Azzwi and Nadir Karra.
Libya is already out of the qualifying matches for 2006, but it is warming up for 2006 African Cup of Nations.
Medco, Japex, Lukoil consortium unsuccessful in bid for Libya oil blocks
Oil and gas company PT Medco Energi Internasional said a consortium comprising it, Japan Petroleum Exploration Co Ltd (Japex) and Russian oil firm OAO LukOil has failed in its bid to win exploration works at four oil and gas blocks in Libya.
It said the Libyan government announced the results of the tender on October 2. Medco said the bid for the Libyan blocks was part of its strategy to increase its oil and gas reserves through acquisitions.
It said the Libyan government announced the results of the tender on October 2. Medco said the bid for the Libyan blocks was part of its strategy to increase its oil and gas reserves through acquisitions.
10/01/2005
Portuguese PM in Libya to enhance relations
The Leader of the Revolution Muammar al Gaddafi received on Sunday Portuguese Prime Minister Jose Socrates and his accompanying delegation.
PM Socrates said his country aims to promote its relations with Libya towards Africa. He stressed the importance of Libya’s role in building cooperation between the African and European spaces. The two sides also discussed several international issues of joint concern.
The meeting was attended by the Secretary of the General People’s Committee and Secretary of Cooperation Affairs at the General People’s Committee for Foreign Liaison and International Cooperation.
PM Socrates said his country aims to promote its relations with Libya towards Africa. He stressed the importance of Libya’s role in building cooperation between the African and European spaces. The two sides also discussed several international issues of joint concern.
The meeting was attended by the Secretary of the General People’s Committee and Secretary of Cooperation Affairs at the General People’s Committee for Foreign Liaison and International Cooperation.
Libya Awards Oil Exploration Rights
Exxon Mobil Corp., BP Gas and Eni SpA of Italy were among several companies that won oil exploration rights in Libya, officials said Sunday.
Libya said 120 foreign oil companies submitted offers for the second round of bidding for certain oil and gas exploration and production contracts in the country.
19 of the plots offered were in areas already producing oil such as Sirte, in the center of the country; Ghadames, in the west; and Murzuq, in the southwest. The others are in Cyrenaica and Kufra, in the east.
The names of the winning companies were announced by an official from Libya's National Oil Corporation (NOC).
He said Exxon Mobil Corp. won one contract for exploration in the center of the country along with Japanese giant Nippon Oil Corp. and PT Pertamina of Indonesia.
British Petroleum won two contracts in Sirte along with PT Pertamina and India's Oil India, while Eni SpA and British Petroleum won the two contracts in the Kufra fields.
Companies from France, Norway and Russia won contracts in the Murzuq fields in the west.
Libya is offering contracts with the NOC, the state-owned integrated oil company that controls the country's petroleum industry.
Libya said 120 foreign oil companies submitted offers for the second round of bidding for certain oil and gas exploration and production contracts in the country.
19 of the plots offered were in areas already producing oil such as Sirte, in the center of the country; Ghadames, in the west; and Murzuq, in the southwest. The others are in Cyrenaica and Kufra, in the east.
The names of the winning companies were announced by an official from Libya's National Oil Corporation (NOC).
He said Exxon Mobil Corp. won one contract for exploration in the center of the country along with Japanese giant Nippon Oil Corp. and PT Pertamina of Indonesia.
British Petroleum won two contracts in Sirte along with PT Pertamina and India's Oil India, while Eni SpA and British Petroleum won the two contracts in the Kufra fields.
Companies from France, Norway and Russia won contracts in the Murzuq fields in the west.
Libya is offering contracts with the NOC, the state-owned integrated oil company that controls the country's petroleum industry.
Pertamina, BG, China National Win Libyan Oil Permits
PT Pertamina of Indonesia, BG Group Plc of the U.K., Oil India Ltd. and Indian Oil Corp. won permits to search for oil and gas in Libya in an auction in which dozens of companies submitted bids for exploration rights in a country that holds Africa's largest crude-oil reserves.
Nippon Oil Corp. of Japan and China National Petroleum Corp. won permits to search offshore.
Libya's government awarded the rights in an auction held today in Tripoli. At least 49 companies registered to bid for permits in 26 onshore and offshore plots, covering about 100,000 square kilometers (38,600 square miles), nearly the size of Cuba. The companies will have to share the production of any field they discover with the Libyan government.
Libya, the eighth-largest oil producer of the 11-member Organization of Petroleum Exporting Countries, is seeking to attract $30 billion of investment to raise production this decade to 3 million barrels a day, from 1.7 million now.
It held the first auction for exploration rights in January 2005. Until then, the nation awarded blocks after talks with companies. The auction today is the second held by Libya since oil was first discovered in the country in 1959.
Libya, a country slightly larger than Alaska, has proven crude-oil reserves of 39 billion barrels, equivalent to more than five years of U.S. consumption. Libyan Energy Secretary Fathi Ben Shatwan told Bloomberg on Sept. 19 that potential reserves may top 100 billion barrels as only 30 percent of the territory is covered by agreements with oil companies.
Occidental Petroleum Corp, Chevron and Amerada Hess Corp. won alone or with others 11 of the 15 permits auctioned, in the first bidding round since oil was discovered in Libya 46 years ago. Until then, the nation awarded blocks after talks with companies.
Nippon Oil Corp. of Japan and China National Petroleum Corp. won permits to search offshore.
Libya's government awarded the rights in an auction held today in Tripoli. At least 49 companies registered to bid for permits in 26 onshore and offshore plots, covering about 100,000 square kilometers (38,600 square miles), nearly the size of Cuba. The companies will have to share the production of any field they discover with the Libyan government.
Libya, the eighth-largest oil producer of the 11-member Organization of Petroleum Exporting Countries, is seeking to attract $30 billion of investment to raise production this decade to 3 million barrels a day, from 1.7 million now.
It held the first auction for exploration rights in January 2005. Until then, the nation awarded blocks after talks with companies. The auction today is the second held by Libya since oil was first discovered in the country in 1959.
Libya, a country slightly larger than Alaska, has proven crude-oil reserves of 39 billion barrels, equivalent to more than five years of U.S. consumption. Libyan Energy Secretary Fathi Ben Shatwan told Bloomberg on Sept. 19 that potential reserves may top 100 billion barrels as only 30 percent of the territory is covered by agreements with oil companies.
Occidental Petroleum Corp, Chevron and Amerada Hess Corp. won alone or with others 11 of the 15 permits auctioned, in the first bidding round since oil was discovered in Libya 46 years ago. Until then, the nation awarded blocks after talks with companies.
Libya Says Fund Worth $30 Billion After Oil-Price Increases
Libya, the site of Africa's largest crude-oil reserves, has $30 billion deposited in a special fund that collects budget surpluses generated by high petroleum prices, the central bank (CBL) said.
The governor of the central bank, Ahmed Menesi, gave the figure at a political rally in the coastal town of Sirte last night, Libya's official news service JANA said today.
The government set up the fund, called the "spared budget", in the 1990s with the idea of passing on part of the oil wealth to future generations. The central bank manages the fund, investing it internally and abroad in bonds and stocks and in the foreign currency markets, Prime Minister Shokri Ghanem told Bloomberg News in January 2005.
Oil prices rallied over the past three years, to more than $70 a barrel in August from below $30. Libya's oil revenue has more than tripled since 1998 and is expected to reach $19.4 billion this year, according to the U.S. Energy Department's fact sheet.
Libya's public budget surplus is forecast at $10 billion for 2005, Libyan leader Muammar Gaddafi told yesterday's rally. Oil sales make up 95 percent of the foreign currency revenue and 75 percent of the public budget.
In April 2005, local banks began lending money from the special fund to finance small private projects and housing. The government allocated $3 billion for this program as it seeks to increase the share of private businesses in the economy to make up for losses inflicted by more than a decade of international sanctions.
Libya, the eighth-largest producer of the 11-member of the Organization of Petroleum Exporting Countries (OPEC), is now trying to attract $30 billion to its oil industry. It intends to raise production capacity to 3 million barrels a day before the end of the decade, from about 1.7 million.
As part of this plan, the North African state will tomorrow pick the winners among international oil companies in a drilling-rights auction, the second to be held since oil was discovered there in 1959.
Libya gave 15 exploration permits to oil companies including Occidental Petroleum Corp, Chevron Corp. and Amerada Hess Corp. in the first auction, held in January 2005.
In the second round, it is auctioning permits to search for oil and gas in 26 areas offshore and onshore, covering a total of 100,000 square kilometers (38,600 square miles), almost the size Cuba. Before the auctions, Libya awarded contracts after talks with companies.
Libya, led since September 1969 by Gaddafi, came under U.S. and United Nations sanctions after being accused of sponsoring terrorism, including the 1988 bombing of a PanAm plane over Lockerbie, Scotland. The sanctions have eased since Libya agreed in 2003 to pay $2.7 billion to the families of those killed in the attack and to end programs to develop weapons of mass destruction.
Source: Bloomberg
The governor of the central bank, Ahmed Menesi, gave the figure at a political rally in the coastal town of Sirte last night, Libya's official news service JANA said today.
The government set up the fund, called the "spared budget", in the 1990s with the idea of passing on part of the oil wealth to future generations. The central bank manages the fund, investing it internally and abroad in bonds and stocks and in the foreign currency markets, Prime Minister Shokri Ghanem told Bloomberg News in January 2005.
Oil prices rallied over the past three years, to more than $70 a barrel in August from below $30. Libya's oil revenue has more than tripled since 1998 and is expected to reach $19.4 billion this year, according to the U.S. Energy Department's fact sheet.
Libya's public budget surplus is forecast at $10 billion for 2005, Libyan leader Muammar Gaddafi told yesterday's rally. Oil sales make up 95 percent of the foreign currency revenue and 75 percent of the public budget.
In April 2005, local banks began lending money from the special fund to finance small private projects and housing. The government allocated $3 billion for this program as it seeks to increase the share of private businesses in the economy to make up for losses inflicted by more than a decade of international sanctions.
Libya, the eighth-largest producer of the 11-member of the Organization of Petroleum Exporting Countries (OPEC), is now trying to attract $30 billion to its oil industry. It intends to raise production capacity to 3 million barrels a day before the end of the decade, from about 1.7 million.
As part of this plan, the North African state will tomorrow pick the winners among international oil companies in a drilling-rights auction, the second to be held since oil was discovered there in 1959.
Libya gave 15 exploration permits to oil companies including Occidental Petroleum Corp, Chevron Corp. and Amerada Hess Corp. in the first auction, held in January 2005.
In the second round, it is auctioning permits to search for oil and gas in 26 areas offshore and onshore, covering a total of 100,000 square kilometers (38,600 square miles), almost the size Cuba. Before the auctions, Libya awarded contracts after talks with companies.
Libya, led since September 1969 by Gaddafi, came under U.S. and United Nations sanctions after being accused of sponsoring terrorism, including the 1988 bombing of a PanAm plane over Lockerbie, Scotland. The sanctions have eased since Libya agreed in 2003 to pay $2.7 billion to the families of those killed in the attack and to end programs to develop weapons of mass destruction.
Source: Bloomberg
High Oil Price, Limited Opportunities Draw Cos To Libya
With little prospect of world crude prices falling much below current lofty levels, oil companies are expected to be out in full force in Libya's next oil and gas licensing round on 2nd October 2005, an increasingly rare opportunity for foreign oil companies to explore and produce oil from an OPEC member nation.
Oil industry experts and lawyers acting on behalf of companies interesting in bidding on the production sharing rights of some of the 26 blocks on offer say most of the major oil companies are keen to get a foothold in the former political pariah that is also one of the world's most under-explored energy-rich countries.
"There are some good blocks on offer this round, and some bad. The question is whether you have deemed Libya as a market you want to enter or not," said attorney Reema Ali of Ali & Partners, a Washington-based law firm with offices in Tripoli and throughout the Middle East.
"If it is, then you want to be in as early as possible and establish relationships and get to know things better than you would from the outside. Given the expectation for high oil prices and fact that most other Mideast oil producers ban outsiders from oil production, there is a lot of interest in Libya," she added.
Libya is drawing widespread interest in its energy sector from foreign investors, says Tarek Hassan-Beck, director of planning at Libya's National Oil Corp (NOI.YY). "When the business environment changed, we actually had a stampede," Hassan-Beck said.
Libya expects international oil companies to spend more than $7 billion on exploration activity over the next 10 years, Hassan-Beck said. The country aims to find at least another 20 billion barrels of oil equivalent through ongoing exploration adding to its nearly 40 billion barrels of proven reserves.
Around 63 oil companies have prequalified for the bidding on the 44 oil blocks that will be awarded in 26 different contracts Sunday, Libyan officials say. Most of the U.S. and European oil majors as well as national oil companies from major consuming nations India and China are on the list.
In January 2005, when Libya staged its first exploration and production-sharing agreement auction since 2000 and the first to include U.S. companies in more than two decades, some 60 companies, including most U.S. oil majors and many smaller independents, submitted bids.
Occidental Petroleum Corp. (OXY), ChevronTexaco Corp. (CVX), and Amerada Hess Corp. (AHC) won interests in 11 of the 15 permits awarded in the first round. But it was Occidental that came away with the most, taking a share in nine exploration areas.
Onlookers said they were stunned by the hefty signing bonuses Occidental and its partners Woodside Petroleum Ltd. (WPL.AU) of Australia and the UAE's Liwa Energy were prepared to pay - nearly $123 million of the total $132 million in signing bonuses offered by the winning bidders. Occidental bid for all 15 areas on offer.
But a few months later, Occidental became the first U.S. oil company to resume production in Libya on fields it controlled before the U.S. government slapped sanctions on Libya in 1986.
Negotiations continue between Libyan oil officials and executives from the so-called Oasis Group - comprising Marathon Oil Corp. (MRO), Amerada Hess and ConocoPhillips (COP) - about the group's return to its Waha oil concession.
Industry sources say the U.S. companies had a tough time deciding how to bid in the January round after so many years outside. European companies that had been active in Libya during the Americans' absence put in bids that were well below the winners.
"The first round bids were very favorable to Libya and very aggressive," said Nabil Khodadad, London-based partner at Chadbourne & Parke. "People were waiting to get a sense of where the market was. The fact that U.S. companies had been excluded for so long really gave them a big incentive to big aggressively." But with oil prices now a whopping $20 a barrel higher than where they were at the time of first round, the winning bids now look relatively cheap, he said.
"Oil is over $60 a barrel, so it would not surprise me to see some aggressive bidding this time," Khodadad said. "There is a perception in the market that oil prices are going to remain high for some time. There was less of that perception at the beginning of this year."
Libya hopes its foreign partners and their investment dollars will help boost the country's oil production capacity to 3 million barrels a day by the end of the decade. Years of sanctions and underinvestment have pushed Libyan production down to about 1.7 million, about half its 1970 peak of 3.3 million barrels a day.
As in the first round, the companies chosen Sunday as winners by Libya's National Oil Corp. (NOC) will be those that seek the smallest share of production. Most of the winning bidders in January asked for shares of less than 20%, lower than what most bigger companies need to satisfy shareholders, who expect a higher rate of return on investment.
This round will give more weight to signing bonuses and pledged investment levels. The NOC has assigned a minimum signing bonus to avoid a situation that occurred in January's round, when India Oil Corp. and Oil India were awarded an area though they pledged no signing bonus.
Analysts say the signing bonus - which was originally intended to serve as a tie-breaker - could come into play in this round. There is less acreage on offer, so bids will probably be tighter for the most attractive blocks. In January's round, there were no ties for any of the blocks.
Source: Dow Jones
Oil industry experts and lawyers acting on behalf of companies interesting in bidding on the production sharing rights of some of the 26 blocks on offer say most of the major oil companies are keen to get a foothold in the former political pariah that is also one of the world's most under-explored energy-rich countries.
"There are some good blocks on offer this round, and some bad. The question is whether you have deemed Libya as a market you want to enter or not," said attorney Reema Ali of Ali & Partners, a Washington-based law firm with offices in Tripoli and throughout the Middle East.
"If it is, then you want to be in as early as possible and establish relationships and get to know things better than you would from the outside. Given the expectation for high oil prices and fact that most other Mideast oil producers ban outsiders from oil production, there is a lot of interest in Libya," she added.
Libya is drawing widespread interest in its energy sector from foreign investors, says Tarek Hassan-Beck, director of planning at Libya's National Oil Corp (NOI.YY). "When the business environment changed, we actually had a stampede," Hassan-Beck said.
Libya expects international oil companies to spend more than $7 billion on exploration activity over the next 10 years, Hassan-Beck said. The country aims to find at least another 20 billion barrels of oil equivalent through ongoing exploration adding to its nearly 40 billion barrels of proven reserves.
Around 63 oil companies have prequalified for the bidding on the 44 oil blocks that will be awarded in 26 different contracts Sunday, Libyan officials say. Most of the U.S. and European oil majors as well as national oil companies from major consuming nations India and China are on the list.
In January 2005, when Libya staged its first exploration and production-sharing agreement auction since 2000 and the first to include U.S. companies in more than two decades, some 60 companies, including most U.S. oil majors and many smaller independents, submitted bids.
Occidental Petroleum Corp. (OXY), ChevronTexaco Corp. (CVX), and Amerada Hess Corp. (AHC) won interests in 11 of the 15 permits awarded in the first round. But it was Occidental that came away with the most, taking a share in nine exploration areas.
Onlookers said they were stunned by the hefty signing bonuses Occidental and its partners Woodside Petroleum Ltd. (WPL.AU) of Australia and the UAE's Liwa Energy were prepared to pay - nearly $123 million of the total $132 million in signing bonuses offered by the winning bidders. Occidental bid for all 15 areas on offer.
But a few months later, Occidental became the first U.S. oil company to resume production in Libya on fields it controlled before the U.S. government slapped sanctions on Libya in 1986.
Negotiations continue between Libyan oil officials and executives from the so-called Oasis Group - comprising Marathon Oil Corp. (MRO), Amerada Hess and ConocoPhillips (COP) - about the group's return to its Waha oil concession.
Industry sources say the U.S. companies had a tough time deciding how to bid in the January round after so many years outside. European companies that had been active in Libya during the Americans' absence put in bids that were well below the winners.
"The first round bids were very favorable to Libya and very aggressive," said Nabil Khodadad, London-based partner at Chadbourne & Parke. "People were waiting to get a sense of where the market was. The fact that U.S. companies had been excluded for so long really gave them a big incentive to big aggressively." But with oil prices now a whopping $20 a barrel higher than where they were at the time of first round, the winning bids now look relatively cheap, he said.
"Oil is over $60 a barrel, so it would not surprise me to see some aggressive bidding this time," Khodadad said. "There is a perception in the market that oil prices are going to remain high for some time. There was less of that perception at the beginning of this year."
Libya hopes its foreign partners and their investment dollars will help boost the country's oil production capacity to 3 million barrels a day by the end of the decade. Years of sanctions and underinvestment have pushed Libyan production down to about 1.7 million, about half its 1970 peak of 3.3 million barrels a day.
As in the first round, the companies chosen Sunday as winners by Libya's National Oil Corp. (NOC) will be those that seek the smallest share of production. Most of the winning bidders in January asked for shares of less than 20%, lower than what most bigger companies need to satisfy shareholders, who expect a higher rate of return on investment.
This round will give more weight to signing bonuses and pledged investment levels. The NOC has assigned a minimum signing bonus to avoid a situation that occurred in January's round, when India Oil Corp. and Oil India were awarded an area though they pledged no signing bonus.
Analysts say the signing bonus - which was originally intended to serve as a tie-breaker - could come into play in this round. There is less acreage on offer, so bids will probably be tighter for the most attractive blocks. In January's round, there were no ties for any of the blocks.
Source: Dow Jones
Dishwasher prompts plane panic in Lufthansa aircraft
A Lufthansa aircraft made an emergency landing at Rome's Fiumicino airport 1st October 2005 after the cabin filled with smoke due to a faulty dish-warmer, airport agency Telenews said.
The incident happened when the plane, an Airbus A320 on its way from Tripoli in Libya to Frankfurt, was flying over central Italy.
The 66 passengers and seven crew members put on their oxygen masks but the plane landed without further problems. Telenews said the passengers were put on other Lufthansa flights to reach Frankfurt.
Source: Telenews
The incident happened when the plane, an Airbus A320 on its way from Tripoli in Libya to Frankfurt, was flying over central Italy.
The 66 passengers and seven crew members put on their oxygen masks but the plane landed without further problems. Telenews said the passengers were put on other Lufthansa flights to reach Frankfurt.
Source: Telenews
First Women’s Int’l Quran Competition in Libya
The first Women’s International Quran Competition will be held in Tripoli, Libya during the last ten days of the holy month of Ramadan. Hojat-ol-Islam Hadi Qobadi, Owqaf Organization’s Instruction and Competitions director general, saying this added that invitations have been received from Libya for participation of Iranian Quran memorizers and Ms Batoul Mahrokh, an outstanding memorizer of the entire Quran will represent Iran at the competition.
“Ms Mahrokh has won titles at various Quran competitions in the country and that is why she has been chosen for Libya’s competition which will be attended by women from Islamic and non-Islamic countries from around the world.” Qobadi said.“From next year on, we will also hold women’s Quran competitions in Iran in the fields of memorization, recitation and interpretation of the holy Quran. Holding such competitions can further encourage women and be a model for other Muslim countries” Qobadi added.The first Women’s International Quran Competition will open in Libya October 24th and continue to October 28th.
Source: IQNA
“Ms Mahrokh has won titles at various Quran competitions in the country and that is why she has been chosen for Libya’s competition which will be attended by women from Islamic and non-Islamic countries from around the world.” Qobadi said.“From next year on, we will also hold women’s Quran competitions in Iran in the fields of memorization, recitation and interpretation of the holy Quran. Holding such competitions can further encourage women and be a model for other Muslim countries” Qobadi added.The first Women’s International Quran Competition will open in Libya October 24th and continue to October 28th.
Source: IQNA
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