LIBYA

BUSINESS

UPDATE
23 – February - 2011

Dear Reader,
Due to current events in Libya and throughout the Arab world, MEC International would like to offer our latest update on business affairs in the country. This latest edition of our Libya Business Update offers news on BP, Repsol, and other major companies operating in the North African country as well as two commentary situation. It also looks at employee evacuations undertaken by the Russians, who have been working on railway construction, and the Poles who have a vested interested in the energy sector in the country. As always, if you have any news you think should be included in our next newsletter, or any feedback or comments, please do not hesitate to contact me. pieces on the current

MEC International Ltd. Granville House 132 Sloane Street London SW1X 9AX Tel: 020 7951 4826 Fax: 020 7951 4800 E-mail: inquiries@meconsult.co.uk www.meconsult.co.uk

If you know of anyone who would like to receive our newsletter please let me know.

Sophie Beard Editor

LIBYA

BUSINESS

UPDATE
23 – February - 2011

Europe Shares Slip On Uncertainty Over Libya Unrest
21/02/2011 European shares slipped on Monday on mounting concern over political stability in oil producers after escalating unrest in Libya over the weekend, prompting investors to cut exposure to risk.
Read More

Oil Giant Statoil Evacuates Staff From Libya
21/02/2011 Norwegian energy giant Statoil on Monday said it had begun evacuating its non-Libyan staff working in the country. Statoil holds stakes in two Libyan oil fields, Mabruk and Murzuq.
Read More

OMV Withdraws Some Libya Staff, Operations Stable
21/02/2011 Austrian oil and gas group OMV said on Monday none of its operations in Libya had been affected by the unrest there but added it was withdrawing expatriate staff from the country.
Read More

Boustead Suspends Operations in Libya, Evacuates Staff
21/02/2011 Boustead Singapore, which provides engineering services and develops industrial facilities, said on Monday it has suspended operations in Libya and started evacuating its non-Libyan staff from the country. Boustead's joint venture partner in Libya will take over control of a township project in the country, it said.
Read More

PGNiG Pulls Out Of Libya
22/02/2011 Polish gas monopolist PGNiG has announced that it is to evacuate its employees from Libya. PGNiG was granted a concession by the Libyan government to look for natural gas in the Murzuq region, where reserves are estimated at 100 billion square meters and production could begin as early as 2015.
Read More

Repsol Of Spain Says It Operating Normally in Libya
21/02/2011

Is

Repsol, which has exploration and production activities in Libya, has been present in Libya since the 1970s. Repsol had net production in Libya of 34,777 barrels a day in 2009.
Read More

LIBYA

BUSINESS

UPDATE
23 – February - 2011

GLOBAL MARKETS – Libya Turmoil Prompts Oil Surge, Hit Equities
21/02/2011 Oil prices charged to fresh 2-1/2 year highs on Monday as traders reacted to increasing violence in major producer Libya, which fed investor fears about rising inflation and unsettled other markets. Globally, equities were lower but U.S. markets were closed for a holiday.
Read More

Turkish Business in Libya Faces Security Threat
20/02/2011 Turkish companies, mainly construction firms, operating in Libya are worried after political turmoil and violence rocks the country and building sites are attacked, depots burned and equipment destroyed over the weekend. Officials from many companies say they are observing the developments closely and have already moved hundreds of workers to safer regions.
Read More

Russians Pulled Out Of Rebellious Libya
22/02/2011 As the bloody violence in Libya spread Monday, Russia began to pull out specialists working on high-profile investment projects in the North African country. Russian Railways said in a statement on its web site that it was bringing home all its 204 engineers working on a rail link between Benghazi and Sirte.
Read More

Oil Giant BP Suspends Operations After Violent Protests
22/02/2011 BP has halted operations in the North African country just four years after it returned from a 30-year hiatus. The oil giant signed a deal worth at least $900 million US (£550 million) in 2007 to explore Libya.
Read More

S.Korean Construction Attacked in Libya
21/02/2011

Site

Eni Says Libyan Production Not Affected By Turmoil
21/02/2011 Italian power giant Eni S.p.A (E) Tuesday said its operations and facilities in Libya haven't been affected by the political unrest in the country and production continues as normal.
Read More

Hundreds of armed Libyans attacked a South Korean-run construction site in Tripoli, sparking a clash in which at least 18 foreigners were hurt.
Read More

LIBYA

BUSINESS
COMMENTARY SECTION

UPDATE
23 – February - 2011

We would like to thank Africa News for contributing the following commentary piece on the current situation in Libya. This piece was originally published on the Africa News Website on February 22 2011.

LIBYA: Benghazi Airport Destroyed By John A. Afful Jnr.
Oil-rich country Libya's Benghazi airport runways have been damaged in the carnage that has rapt that part of the North African country halting landing of air planes, Egypt's Foreign Minister Ahmed Aboul Gheit said on Tuesday. Protests have swept through the country and it is likely to continue for days. Speaking at a news conference, he said "Regarding east of Libya, the Benghazi airport runways have been destroyed. It is not possible for Egyptair flights or any other flights to land in that airport." Meanwhile, witnesses in the Libyan capital Tripoli had reported "massacres" in certain neighbourhoods after the state channel announced that security forces were assaulting "dens of terrorists". Libyan television has dismissed as "lies" the alleged massacre of protesters after embattled leader Muammar Gaddafi spoke publicly for the first time since the revolt began. The announcement came as international outrage over Libyan security forces' brutal crackdown deepened, with the UN Security Council to meet later on Tuesday at the urging of Libyan diplomats who have quit in protest at Gaddafi’s regime. "They say there are massacres in several cities, towns and neighbourhoods of Libya. We must fight against these rumours and lies which are part of psychological warfare," wrote Al-Jamahiriya Two state television on a red ticker. Reiterating this information "aims to destroy your morale, your stability and your riches".

LIBYA

BUSINESS

UPDATE
23 – February - 2011

Gaddafi, 68, appeared on Libya television late on Monday night to scotch "malicious rumours" that he had abandoned the oil-rich North African nation in the face of protests that flared a week ago in the east of the country. Government buildings on fire "I am going to meet with the youth in Green Square" in downtown Tripoli, said Gaddafi in what state television called a live broadcast from outside the strongman's home. "It's just to prove that I am in Tripoli and not in Venezuela and to deny television reports, those dogs," he said as he stood under a silver umbrella while about to step into a car. Rain lashed Tripoli on Monday evening. Despite the brief 22-second appearance, Gaddafi’s grip on Libya appeared increasingly shaky as loyalists quit and fighter pilots defected after being ordered to fire on demonstrators. The uprising has spread to the capital, with gunfire rattling Tripoli, where protesters attacked police stations and the offices of the state broadcaster – Gaddafi’s mouthpiece - and set government buildings ablaze. Human rights groups say the Libyan government's crackdown has killed between 200 and 400. Residents of two districts in Tripoli said by telephone there had been "a massacre," with gunmen "firing indiscriminately" in Tajura district.

LIBYA

BUSINESS

UPDATE
23 – February - 2011

We would like to thank Care2 for contributing the following commentary piece on the current situation in Libya. The article was originally published at http://www.care2.com/causes/

Gaddafi's Grip on Libya Weakens By Kristina Chew
Colonel Muammar Gaddafi appeared on Libyan state TV on Tuesday night and said that he was in Tripoli, dismissing reports that he had left the country for Venezuela. Gaddafi has reportedly ordered fighter jets to attack parts of the capital, according to the Guardian and, according to the BBC, witnesses have reported that warplanes and helicopters have been firing on protesters. But with the eastern cities of al-Bayda and Benghazi reportedly now under the control of protesters, Gaddafi's control of Libya appears to be weakening. The BBC described Gaddafi as speaking while 'seated in the passenger seat of an old, white vehicle and [holding] up an umbrella to shield himself from the rain' and saying: "I am satisfied, because I was speaking in front of the youth in the Green Square tonight, but the rain came praise to God, it is a good omen," he said. "I want to clarify for them that I am in Tripoli not in Venezuela. Do not believe these channels - they are dogs. Good-bye." After speaking to Gaddafi on Monday, United Nations Secretary-General Ban Ki-moon announced that the UN Security Council will meet in a closed session to discuss the situation in Libya. And Libya's own diplomats at the UN have called for 'international intervention to stop the government's violent action against street demonstrations in their homeland.' Earlier on Monday, the Guardian reported that two Libyan fighter jets and two civilian helicopters had landed in Malta. Military officials say that the pilots---Libyan air force colonels---have asked for asylum and told Maltese officials that they had been ordered to bomb protesters.

LIBYA

BUSINESS

UPDATE
23 – February - 2011

The recent unrest in North Africa has already been felt throughout the world, and not only in the form of oil prices being at their highest since the financial crisis of 2008. The New York Times reports that Europeans have recently been seeking to cultivate 'close contacts with Tripoli' to stem what is more and more seen as 'an unmanageable flood of migrants.' The recent revolts have led to an even greater influx of migrants to Italy and Malta. The EU has denounced the Libya's 'brutal suppression' of the protesters, but concerns remain about the issue of migrants: Italy’s foreign minister, Franco Frattini, warned that the crisis in Libya could set off an “unimaginable” movement of population because of the large number of non-Libyan citizens in the country, which has been a magnet for Africans looking for jobs and possibly a passage to Europe. “Those who spoke of hundreds of thousands” of people crossing into Europe “are not exaggerating,” Mr. Frattini said. “We have already seen what happened in Tunisia.” More than 3,000 Tunisians have landed on the Italian island of Lampedusa, just off Sicily, in recent days, leading the Italian government to declare a humanitarian emergency. Libya, notes the New York Times, holds 'considerable leverage over the European Union' because, indeed, of the migration issue. Last week, Libya told the 27-nation EU that it would 'reconsider its cooperation on illegal migration if the Europeans continued to encourage pro-democracy protests in the country, according to Hungary, which holds the union’s rotating presidency.' Brussels, the Guardian reports, has 'rejected what some ministers called "blackmail" from Tripoli.' (90% of the migrants entering Europe illegally due so via Greece's border with Turkey, the BBC reported in October of last year.) European nations have sent planes and ferries to Libya to evacuate their citizens (including employees of international oil companies). The Guardian reports that thousands of Turkish workers are awaiting evacuation from Libya and have taken refuge inside a soccer stadium in eastern Benghazi after hearing gunfire and explosions.

Sign up to vote on this title
UsefulNot useful