Skip the contract between ENI and Libya for 8 billion
Libya's oil ministry has rejected the huge $8 billion deal the Italian energy giant signed with Libya's National Oil Corporation (NOC) over the weekend, saying the deal violates legislation and has not been approved by the Libyan oil ministry. Ministry before signing.
The managing director of En i, Claudio Descalzi, and the managing director of the Libyan National Oil Corporation, Farhat Bengdara, agreed on Saturday on the development of "A&E Structures", a strategic project aimed at increasing gas production to supply the Libyan internal market and guarantee exports to Europe. The agreement was signed in the presence of the Italian Prime Minister, Giorgia Meloni, and the Prime Minister of the Libyan Government of National Unity, Abdul Hamid Al-Dbeibah.
Under the agreement, combined gas production from the two facilities will begin in 2026 and reach a plateau of 750 million standard cubic feet of gas per day, Eni said in a statement. The overall investment is estimated at $8 billion, with a significant impact on the industry and associated supply chain, enabling a significant contribution to the Libyan economy, the Italian group said.
However, Mohamed Aoun, Libya's oil and gas minister in Al-Dbeibah's Tripoli-led government, rejected the deal because he said it bypassed the approval of his oil ministry and cabinet and changed a previous agreement signed in 2008.
Aoun and his backer Fathi Bashagha, the rival eastern prime minister appointed by Libya's parliament, have now rejected the deal.
According to Aoun, the deal is illegal and lacks equality between Libya and Italy, the oil minister said in a video recording seen by the Libya Herald.
Libya's internal political struggle could delay the start of project gas flows from Libya to Europe, which has pinned its hopes – mainly through Italy – on increased gas supplies from North Africa and the Eastern Mediterranean .
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The article Skips the contract between ENI and Libya for 8 billion comes from Scenari Economici .
This is a machine translation of a post published on Scenari Economici at the URL https://scenarieconomici.it/salta-il-contratto-fra-eni-e-la-libia-per-8-miliardi/ on Tue, 31 Jan 2023 21:55:13 +0000.