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Libya: NOC east set to discuss contracts at Dubai conference with Oil Experts

  • Date de création: 28 août 2015 08:53

(Agence Ecofin) - Invitations has been sent to foreign oil firms by Libya’s loyal oil firm based in the eastern part of the country to discuss existing oil purchase contracts at a conference in Dubai next month.

The aim of the discussion is for Libya's internationally recognized government to control state oil firm NOC, which is at the center of a conflict between two rival administrations four years after the overthrowing of Muammar Gaddafi.

The eastern government however, has set up a new oil entity, which it calls NOC east, based in the city of Benghazi, but oil buyers still only deal with the established state firm NOC based in Tripoli, which has processed oil sales for decades.

The company said in a statement that new NOC east wants to "discuss legally signed agreements and contracts" with foreign oil buyers and service firms at a conference in Dubai on September 2.

Libya's on going conflict has reduced output to less than 400,000 b/d, a quarter of Libya's production and most foreign oil companies have moved expatriate staff out of Libya or closed major fields due to insecurity or protests.

Nonetheless the eastern NOC said Libya "has been regarded in recent years as one of the hottest opportunities available to both independent and large international oil companies."

Maghrabi however said in the invitation that his team was honoring oil contracts but pointed out that the headquarters of NOC was based in Benghazi, not Tripoli.