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View Diary: MSM plays Hankey Panky with Libya (24 comments)

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  •  Oh, If the NTC were puppets of NATO, and the (0+ / 0-)

    Libyan revolution a fake one orchestrated by the US, EU & UK, you'd think they would be giving Shell a sweetheart deal now. Instead they are bargaining hard and not cutting bargains with the NATO  countries.

    Bye Bye Shell. Hello BP !  Libya Herald

    So Shell walked be deal, BP had a quick line up pattern to fill the void, the Russians and getting back in and even the Chinese are talking to the Libyans about oil. Already oil production is up to 90% of 2010 levels.

    In today's world, I think the Libyans known there will be no problem selling all the oil they can produce at current market prices, and now without heavy Qaddafi carrying charges deducted before they saw penny one.  

    Remember history, Clay Claiborne, Director Vietnam: American Holocaust - narrated by Martin Sheen

    by Clay Claiborne on Mon Jun 11, 2012 at 02:58:15 PM PDT

    [ Parent ]

    •  I didn't say the NTC were puppets of NATO (0+ / 0-)

      BTW, the NTC has changed considerably since it was first formed. No one seems to know who all the 86 members are.

      you'd think they would be giving Shell a sweetheart deal now.
      The NOC cannot do a new deal until after the elections.
      http://www.theaustralian.com.au/...
      But the email said it "will actively continue to engage with the (National Oil Co) and Libyan authorities" to explore other business opportunities.

      "This is not a country exit, and a Shell office will remain in Libya," it added.

      In today's world, I think the Libyans known there will be no problem selling all the oil they can produce at current market prices
      Libya does not get the full price per barrel. Each IOC negotiates a PSA with the NOC. The amount that the Libyan government/people gets depends on the terms of the PSA.

      BP got to renegotiate it's PSA under "force majeure". The new deal is secret.

      BP returning to Libya under new pact
      NEW YORK (MarketWatch) -- BP PLC BP +0.50% said Tuesday it reached an agreement with Libya National Oil Corp. about returning to onshore and offshore oil and gas exploration blocks in the country. BP had declared a force majeure in Libya on Feb. 21, 2011. A force majeure means unforeseeable circumstances have prevented a party from fulfilling terms of a contract. BP said it signed a new pact with Nuri Berruien, chairman of Libya's state-run oil company.
    •  Looks like I was right. The Libyan people will (0+ / 0-)

      be getting less money for their oil when the new contracts come out. In 2010, Gaddafi was giving the oil companies 15% and keeping 85% for Libya. Want to make a bet that it will be 50/50 (or worse) in the future?

      Libya To Offer New Production-sharing Contracts

      VIENNA--Libya will offer new production-sharing agreements to international oil companies on improved terms to existing contracts, but this won't happen this year, said the country's Minister of Oil and Gas, Abdurahman Benyezza Wednesday.

      Libya isn't currently planning to revise the terms of existing contracts with foreign oil companies, but there may be a process to equalize the terms of new and existing contracts in the future, he said.

      "At the moment we are working on the [contract] models. We'll have to study and see where we can improve," Mr. Benyezza told reporters at the Organization of Petroleum Exporting Countries International Seminar in Vienna. "Production-sharing agreements will be the main type of contracts of course. New ones will not be [offered] this year."

      Whether existing contract holders will also be offered the same terms as newcomers has yet to be decided, he said.

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