Saturday, August 21, 2010

Oil exploration in Somalia

"The Puntland delegation went ahead anyways, returned to Dubai and signed an agreement on August 30th, 2005 at the Hilton Dubai with Consort Private forexclusive rights to explore and drill for oil in the Nogal and Dharoor blocks. Two days prior to this, the Somali Prime Minister sent a warning to non-Somali companies that any oil deals would have to go through the federal government, not any state government (this despite the fact that Puntland was and is independent of the federal government in all but name).[2]  While the details of the deal are known only to the four men who signed it, what is known is that following the deal, a number of Puntland ministers were added to the board of directors, and the government of Puntland by extension must have a sizeable (perhaps even controlling) share in Consort Private.   Not to be put off so easily, Somali TFG President Abdullahi Yusuf, in an interview with the BBC on September 9, 2005, says that legally "natural resources belonging to the nation is the responsibility of the federal government". A few weeks later on September 29, 2005 a delegation from Puntland composed of ministers and businessmen travelled to the TFG's interim capital at Jowhar to led by finance minister Mohamed Yusuf "Gaagaab" to unsuccessfully negotiate again for Yusuf's signature on the deal." (thanks Abdirahman)