Libya Business Update

Monitoring the latest news                                                                       May 2009

Dear Reader,

This is the latest Libya Business Review Newsletter which provides a concise review of major developments so that you are able to identify potential opportunities.

As the Libyan government agrees its five-year plan for developing the energy sector there are reports that upstream discoveries are slowing. Even so currency reserves are reported to reach $136 billion this year, it might be significant that Libya is looking into energy exploration off the coast of Cyprus. In May, Libya was given three patrol boats by the Italian government to police European immigration which continues to be a problem.

If you would like to learn more about this newsletter or forthcoming events, or perhaps would like to suggest an event or article for inclusion in the next edition, please do not hesitate to contact me.

Kind regards,

Maya Rusinowicz, Editor

MEC International Ltd
132-135 Sloane Street
Granville House, London SW1X 9A

Tel: 020 7591 4816, Fax: 020 7591 4801

Email: projects@meconsult.co.uk

www.meconsult.co.uk

Libya, Ukraine sign nuclear power deal (26/05/2009)

Libya and Ukraine signed deals to cooperate in both peaceful civilian nuclear energy and defence during a visit by Ukrainian Prime Minister Yulia Tymoshenko. Tymoshenko also met Libyan leader Moamer Kadhafi and gave him a letter from Ukrainian President Viktor Yushchenko. Read More

Libya expects reserves at $136 billion this year (25/05/2009)

OPEC member Libya expects foreign currency reserves to reach $136 billion this year from around $100 billion in the previous year according to Libya’s Central Bank Research and Statistics head Ali Ramadan Shnebesh. Read More

Libya cuts production in Total consortium (22/05/2009)

Libya has decided to reduce its participation in the consortium led by French oil company Total in the C137 block and the Al Jurf oil field, located about 100km from the Libyan coast according to a statement from the National Oil Corporation (NOC). Read More

‘Libya Build 09’ Exhibition (20/05/2009)

The 6th International Building and Construction Exhibition (Libya Build 09) was inaugurated on Monday 18th May at the Tripoli International Fairgrounds. Libya Build has been successful since the beginning and opened the channels to more than 500 companies from 30 different countries to interact and start up business within the Libyan market. Read More

Oil: 5-Year Development Plan Discussed (20/05/2009)

During a special extraordinary meeting, the General Peoples Committee of Libya discussed development projects in the oil sector for the 2009-2013 five-year plan. The guidelines for the plans, targets to be met and necessary funds were presented during the meeting. Read More

Libya sees improving economy driving oil-price rise (19/05/2009)

An improving economic outlook is driving the rise in oil prices and the rally is expected to continue. The price of crude climbed to $60.48 a barrel on Tuesday, the highest since November, tracking gains in equities in the last few months on hopes of economic recovery. According to Shokri Ghanem of NOC, "The economic situation is improving; this is improving the prices and we think they are going to improve even more." Read More

Slow Progress Sows Doubts on Libyan Oil Prospects (15/05/2009)

Disappointment at the slow pace of oil finds in post-sanctions Libya is sowing doubt over output targets and leading some foreign oil firms to re-assess their prospects in the country.

Libya was off limits for most foreign oil firms for decades and they accepted some of the industry’s tightest exploration and production sharing deals when they were at last able to access Africa’s most promising oil acreage. Read More

New Glass Processing Factory Opens in Libya (15/05/2009)

Azizia Glass Manufacturing Company (AGMC) will open its new Glass Processing factory on 20th May 2009. The factory has installed and commissioned the latest state of the art computerized glass processing technology to meet the large demand for specialized processed manufactured glass in Libya. Read More

Italy gives Libya three boats to patrol for migrants (14/05/2009)

Italy has given three patrol boats to Libya as part of an agreement between the two countries to stem the flow of migrants illegally reaching Italian shores. Italy’s conservative government is cracking down on illegal immigration. The Interior Ministry says another three boats will be given to Libya in coming weeks. Read More

Iran and Libya to Boost Economic Ties (13/05/2009)

Iranian charge d’affaires to Libya stressed Iran’s presence in the Libyan market, announcing Iran’s increasing efforts to bolster economic ties with Libya. Read More

Medco seeks $275m in loans to finance oil field in Libya (11/05/2009)

Publicly listed PT Medco Energi International of Indonesia is seeking as much as US$275 million worth of loans to develop its oil block in Libya. Medco project director Lukman Mahfoedz said the so-called Area 47 project in Libya would cost $800 million for facility construction and $300 million for development. Read More

Thousands of overseas Filipino workers required in Libya (09/05/2009)

Thousands of Filipino migrant workers are needed to fill in vacancies in companies from various sectors in Libya as reported by the Department of Labor and Employment (DOLE). In a press statement, DOLE stated that for this year, 16,000 job opportunities are available for overseas Filipino workers (OFWs) in the construction, oil and gas, hotels, and in the medical and other services sectors in Libya. Read More

Jordan, Libya sign 12 accords, MoU (07/05/2009)

Jordan and Libya signed 12 agreements and memoranda of understanding (MoU) during the Jordanian-Libyan Higher Committee meetings, co-chaired by Prime Minister Nader Dahabi and his Libyan counterpart Al Baghdadi Ali Al Mahmoudi. The two parties signed economic agreements in the fields of industry and trade, investment promotion and protection, and standards and metrology. Agreements in the sectors of transportation, customs, agriculture, construction, health, higher education and scientific research as well as anti-narcotics were also signed. Read More…

Verenex say Libya mum on plans to top CNPC offer (05/05/2009)

Verenex Energy Inc said it has not received any notice from Libyan officials about their plans to trump a takeover bid made by China National Petroleum Corporation for the small Canadian oil firm. The head of Libya’s National Oil Co has repeatedly stated plans to exercise its rights to match a C$499 million ($427 million), or C$10 per share, bid for Verenex made by CNPC’s international arm made in February. Read More…

Libya keen to invest in Cyprus exploration (01/05/2009)

Shukri Ghanem said Libya was “very much interested in looking at different possibilities of investment” in a search for oil and gas deposits inside the island’s exclusive economic zone and was keen to invest in oil-and-gas exploration off Cyprus’ southern coast.The announcement came short after exploratory talks in Nicosia with Commerce Minister Antonis Paschalides. Read More…