29.05.12 Libya Focus
BP to start operations in Libya
BP is to start oil and gas exploration in Libya, which the company suspended last
year due to the popular uprising against Colonel Mu'ammar Qadhafi. On Tuesday 29 May, Libya's National Oil Corporation (NOC) chairman Nouri Berouin held a meeting with BP's deputy chief for exploration Michael Daly, at the NOC's headquarters.
The NOC released a statement saying: “During the meeting, BP announced the lifting of the state of force majeure
starting on May 15, 2012, and a return to carry out exploratory activity at
and offshore areas belonging to it in Libya.”
For his part, Daly said: "The lifting of Force Majeure is a significant milestone in BP's plans to
return to the exploration of onshore and offshore blocks in our existing EPSA
contract. We look forward to working with the NOC and our partners in the
Investment Authority to safely implement our drilling programme."
PB has no oil and gas production in Libya. In February 2011, it was preparing to
start exploration in western Libya when it suspended the work because of
the unrest. In 2007, the company signed a $900 million deal for exploration in
country and was planning to drill two wells, one offshore and one onshore.
Before the civil war, Libya was Africa's third-largest oil producer. Oil
companies including Eni and Total have already resumed some of their output in
Sources: Reuters, BP, Bloomberg
For more news and expert analysis about Libya, please see Libya Focus and Libya Politics & Security.