NOC rejects deal between Presidential Council and Jodran

NOC rejects deal between Presidential Council and Jodran

July 24, 2016 - 21:06
Posted in:
Written By: AbdulkaderAssad

The CEO of the Tripoli-based National Oil Corporation, Mustafa Sanallah, rejected the agreement struck by the UN-proposed government and the Petroleum Facilities Guard (PFG) to reopen the main oil terminals and to increase Libya’s oil production.

According to Reuters, Sanallah said in a letter to the UN envoy to Libya, Martin Kobler, oil officials and diplomats, that it is wrong to reward Jodran for shutting down oil ports in Ras Lanuf, Al-Sidra and Al-Zueitina, adding that the deal included payments that would encourage other armed groups to block the oil fields and ports again hoping that they will gain the same amounts of cash.

Sanallah indicated that the NOC won’t lift the state of force majeure in the oil ports if money was provided because the NOC fears such payment will spark others to shut down the oil fields and terminals.

“If any lawsuits were filed at any international court regarding losses coming out of the shutdown, we as the NOC tend to have no relevance to them.” The letter reads.

On Friday, the PFG confirmed it would implement a deal made with the UN-proposed government to reopen the oil fields and ports in a matter of days after a visit paid by Kobler to Ras Lanuf in which he met Jodran.

The deal says the government has to pay 241 million dinars to Ibrahim Jodran and his men for the resumption of oil production. 
A force, affiliated with Khalifa Haftar’s militias and in control of the fields that pump oil into the ports, rejected the deal and said it won’t resume pumping oil out of the fields they control.