Libya PM Moves State Oil HQ to Troubled Benghazi
Are all of Zidan and the GNC’s moves pure appeasement? This latest attempt to not be booted out of power by the Political Isolation Law appears to be a totally transparent move to appeal to various Federalist demographics. One also wonders how it can be implemented at this time. Read more from Reuters.
Libya confirmed on Wednesday that the headquarters of the state energy firm would move to the volatile eastern city of Benghazi, a response to demands for more authority for the oil-rich region which may prove a headache for international companies.
The National Oil Corporation (NOC) has faced calls since the end of the 2011 war that ousted Muammar Gaddafi to move more of its operation to the eastern region, which accounts for around 80 percent of Libya’s oil wealth.
Zeidan made no detailed reference to a current plan that would split upstream activities, such as exploration and production, from downstream activities, such as refining and marketing, with the former to remain in Tripoli.
Oil is Libya’s economic lifeline. The OPEC member pumps at a rate of around 1.6 million barrels per day and has made the country rich despite its troubles.