Wednesday, 20 April 2011
Libyan oil sector in a state of disrepair
Doubtless, legal wrangling will be acute between the two sides in determining which of the governments in Libya should be in receipt of revenues and taxes arising from oil exports. A strong lobby including the French, whose government has already recognised the Interim Transitional National Council (ITNC) as the legitimate administration, UK and Qatar favours retaining all payments frozen until such time as there is arbitration on the ownership of the oil shipped.
Throughout the country security is poor and few establishments are functioning at other than low capacity. For the moment, foreign concerns are sheltered while Libyan nationals are heavily engrossed in the political turmoil but almost inevitably life will become difficult depending on their support for or against Colonel Mu'ammar Qadhafi's regime.
The local staff in Tripolitania could turn antagonistic to foreign employers should NATO help to usher in new victories for the eastern Libyans.
For more news and expert analysis about Libya, please see Libya Focus and Libya Politics & Security.
© 2011 Menas Associates