By Sami Zaptia.
Tripoli, 18 September 2013:
Speaking at yesterday’s opening of the CWC Libya Forum on oil and gas in Tripoli, NOC . . .[restrict]chairman Nurri Berruien confirmed that there are to be no new exploration-production sharing agreements (EPSAs) before mid-2014.
Answering questions at the end of the morning session yesterday, Berruien added, interestingly, that this would probably be “during a constitutional government”. The implication is that the current “interim” government is not deemed constitutional enough or does not have the authority or legitimacy to launch an EPSA bidding round.
What the NOC chairman revealed is that the issuing of EPSAs is very much linked to the political and constitutional process of Libya. This may mean that in reality, the mid-2014 target for EPSAs is quite optimistic in view of the hitherto slow political and constitutional process in Libya.
Berruien did reassuringly add that he hoped for a “win-win” situation for both the NOC and the international oil companies. He admitted that “the current EPSAs had problems for both” parties and hoped that the new EPSAs would “encourage long-term development”. [/restrict]
