

Currently released so far... 6239 / 251,287
Articles
Browse latest releases
2010/12/01
2010/12/02
2010/12/03
2010/12/04
2010/12/05
2010/12/06
2010/12/07
2010/12/08
2010/12/09
2010/12/10
2010/12/11
2010/12/12
2010/12/13
2010/12/14
2010/12/15
2010/12/16
2010/12/17
2010/12/18
2010/12/19
2010/12/20
2010/12/21
2010/12/22
2010/12/23
2010/12/24
2010/12/25
2010/12/26
2010/12/27
2010/12/28
2010/12/29
2010/12/30
2011/01/01
2011/01/02
2011/01/04
2011/01/05
2011/01/07
2011/01/09
2011/01/10
2011/01/11
2011/01/12
2011/01/13
2011/01/14
2011/01/15
2011/01/16
2011/01/17
2011/01/18
2011/01/19
2011/01/20
2011/01/21
2011/01/22
2011/01/23
2011/01/24
2011/01/25
2011/01/26
2011/01/27
2011/01/28
2011/01/29
2011/01/30
2011/01/31
2011/02/01
2011/02/02
2011/02/03
2011/02/04
2011/02/05
2011/02/06
2011/02/07
2011/02/08
2011/02/09
2011/02/10
2011/02/11
2011/02/12
2011/02/13
2011/02/14
2011/02/15
2011/02/16
2011/02/17
2011/02/18
2011/02/19
2011/02/20
2011/02/21
2011/02/22
2011/02/23
2011/02/24
2011/02/25
2011/02/26
2011/02/27
2011/02/28
2011/03/01
2011/03/02
2011/03/03
2011/03/04
2011/03/05
2011/03/06
2011/03/07
2011/03/08
2011/03/09
2011/03/10
2011/03/11
2011/03/13
2011/03/14
2011/03/15
2011/03/16
2011/03/17
2011/03/18
2011/03/19
2011/03/20
2011/03/21
2011/03/22
Browse by creation date
Browse by origin
Embassy Athens
Embassy Asuncion
Embassy Astana
Embassy Asmara
Embassy Ashgabat
Embassy Ankara
Embassy Amman
Embassy Algiers
Embassy Addis Ababa
Embassy Accra
Embassy Abuja
Embassy Abu Dhabi
Embassy Abidjan
Consulate Amsterdam
American Institute Taiwan, Taipei
Embassy Bujumbura
Embassy Buenos Aires
Embassy Budapest
Embassy Bucharest
Embassy Brussels
Embassy Bridgetown
Embassy Bratislava
Embassy Brasilia
Embassy Bogota
Embassy Bishkek
Embassy Bern
Embassy Berlin
Embassy Belgrade
Embassy Beirut
Embassy Beijing
Embassy Banjul
Embassy Bangkok
Embassy Bandar Seri Begawan
Embassy Bamako
Embassy Baku
Embassy Baghdad
Consulate Barcelona
Embassy Copenhagen
Embassy Conakry
Embassy Colombo
Embassy Chisinau
Embassy Caracas
Embassy Canberra
Embassy Cairo
Consulate Curacao
Consulate Ciudad Juarez
Consulate Chennai
Consulate Casablanca
Consulate Cape Town
Embassy Dushanbe
Embassy Dublin
Embassy Doha
Embassy Djibouti
Embassy Dhaka
Embassy Dar Es Salaam
Embassy Damascus
Embassy Dakar
Consulate Dubai
Embassy Kyiv
Embassy Kuwait
Embassy Kuala Lumpur
Embassy Kinshasa
Embassy Kigali
Embassy Khartoum
Embassy Kathmandu
Embassy Kampala
Embassy Kabul
Consulate Kolkata
Embassy Luxembourg
Embassy Luanda
Embassy London
Embassy Ljubljana
Embassy Lisbon
Embassy Lima
Embassy Lilongwe
Embassy La Paz
Consulate Lagos
Mission USNATO
Embassy Muscat
Embassy Moscow
Embassy Montevideo
Embassy Monrovia
Embassy Minsk
Embassy Mexico
Embassy Mbabane
Embassy Maputo
Embassy Manama
Embassy Managua
Embassy Malabo
Embassy Madrid
Consulate Munich
Consulate Mumbai
Consulate Montreal
Consulate Monterrey
Consulate Milan
Embassy Pristina
Embassy Pretoria
Embassy Prague
Embassy Port Au Prince
Embassy Phnom Penh
Embassy Paris
Embassy Paramaribo
Embassy Panama
Consulate Peshawar
REO Basrah
Embassy Rome
Embassy Riyadh
Embassy Riga
Embassy Reykjavik
Embassy Rangoon
Embassy Rabat
Consulate Rio De Janeiro
Consulate Recife
Secretary of State
Embassy Stockholm
Embassy Sofia
Embassy Skopje
Embassy Singapore
Embassy Seoul
Embassy Sarajevo
Embassy Santo Domingo
Embassy Santiago
Embassy Sanaa
Embassy San Salvador
Embassy San Jose
Consulate Strasbourg
Consulate Shenyang
Consulate Shanghai
Consulate Sao Paulo
Embassy Tunis
Embassy Tripoli
Embassy Tokyo
Embassy The Hague
Embassy Tel Aviv
Embassy Tehran
Embassy Tegucigalpa
Embassy Tbilisi
Embassy Tashkent
Embassy Tallinn
Consulate Tijuana
USUN New York
USEU Brussels
US Mission Geneva
US Interests Section Havana
US Delegation, Secretary
UNVIE
Embassy Ulaanbaatar
Browse by tag
ASEC
AU
AORC
AF
AM
AFIN
AEMR
AR
ASIG
AMGT
AG
APER
AL
ABLD
ASUP
AA
ASECKFRDCVISKIRFPHUMSMIGEG
AE
AMED
AS
AGMT
APECO
AO
AFFAIRS
AJ
ACOA
AX
AROC
ATFN
ASEAN
AFGHANISTAN
ADCO
AFU
AER
ALOW
AODE
ABUD
ATRN
AID
AC
AVERY
APCS
CASC
CJAN
CVIS
CS
COUNTER
CD
CU
CI
CO
CG
CE
CA
CMGT
CH
CWC
CBW
CKGR
CR
CN
CPAS
CONS
CDG
CLINTON
CT
CJUS
CY
CV
COUNTERTERRORISM
CIA
CACM
CDB
CAN
COE
CM
COUNTRY
CLEARANCE
CACS
CF
CONDOLEEZZA
CARSON
CL
CIS
CODEL
CTM
CB
COM
ECON
EFIN
ETRD
EAIR
EAID
ET
EFIS
ENRG
EPET
ETTC
ER
EG
EINV
EAGR
ELAB
EUN
EWWT
ENGR
EMIN
ECIN
ENIV
ES
EC
ECPS
EIND
EI
EU
ENVI
ETRDEINVECINPGOVCS
ELTN
EZ
EINT
ELN
EUR
EUNCH
EN
EINVECONSENVCSJA
ELECTIONS
EINVEFIN
ENNP
ECUN
EXTERNAL
EK
EFINECONCS
ECINECONCS
ECIP
EINDETRD
EUC
EREL
ENVR
ECA
ENERG
ENGY
ETRO
EFTA
ECONCS
ECONOMICS
ECONEFIN
EINVETC
EINN
ESA
ETC
ETRDEINVTINTCS
ESENV
ETRDECONWTOCS
IR
IZ
IWC
IC
ILC
IO
IAEA
IN
IS
IT
ICRC
INTELSAT
ILO
IBRD
IMF
ICAO
IMO
ITALY
ITALIAN
IRAQI
ITRA
ISRAELI
ICJ
IACI
INTERPOL
ID
IV
ICTY
IQ
IPR
INRB
ITPHUM
IIP
IL
IA
INR
ITPGOV
IZPREL
IRC
INRA
INRO
IRAJ
IEFIN
IF
KE
KCRM
KDRG
KIPR
KCOR
KSCA
KBIO
KDEM
KMCA
KMPI
KNNP
KJUS
KOMC
KGHG
KSUM
KSTC
KIRF
KTIP
KWMN
KZ
KG
KTFN
KHLS
KPAO
KFRD
KTIA
KOLY
KCFE
KISL
KFLU
KPKO
KWBG
KTBT
KTDB
KOCI
KUNR
KAWK
KICC
KPAL
KSTH
KN
KS
KGIC
KNPP
KWAC
KMDR
KAWC
KBCT
KIDE
KFLO
KWMNCS
KSEP
KU
KNEI
KVPR
KACT
KRAD
KFRDKIRFCVISCMGTKOCIASECPHUMSMIGEG
KCIP
KSAF
KV
KSPR
KPRP
KFSC
KCRS
KR
KRFD
KX
KO
KPWR
KMIG
KSEC
KIFR
KDEMAF
KFIN
KGCC
KPIN
KHIV
KPLS
KIRC
KFRDCVISCMGTCASCKOCIASECPHUMSMIGEG
KGIT
KBTS
KPRV
KBTR
KERG
KWMM
KRVC
KNSD
KVIR
KNUP
KTER
KDDG
KHSA
KMRS
KHDP
KTLA
KPAK
KNAR
KREL
KPAI
KTEX
KCOM
KNNPMNUC
KPOA
KLIG
KHUM
KDEV
KNUC
KCFC
KREC
KOMS
KWWMN
MASS
MP
MARR
MOPS
MNUC
MX
MO
MCAP
MY
ML
MU
MIL
MC
MTRE
MA
MD
MTCRE
MEPI
MAR
MRCRE
MR
MV
MPOS
MZ
MEPP
MOPPS
MAPP
MASC
MT
MERCOSUR
MK
MDC
MI
MAPS
MCC
MASSMNUC
MQADHAFI
MUCN
MTCR
MG
OVIP
OREP
OTRA
OSCE
OECD
OIIP
OEXC
OPCW
OPIC
OPDC
OPRC
ODIP
OVP
OSCI
OAS
OFDP
OTR
OSAC
OIC
OFFICIALS
OIE
PREL
PGOV
PHUM
PTER
PE
PINR
PINS
PARMS
PARM
PHSA
PA
PK
PBTS
PO
PREF
POL
PLN
POLITICS
PROP
PL
PM
PAO
PSI
PG
PEPR
POV
PALESTINIAN
PINT
PSOE
PU
POLITICAL
PARTIES
PBIO
PECON
PAK
POGOV
PINL
PKFK
PMIL
PY
PFOR
PHALANAGE
PARTY
PRAM
PMAR
PGOVLO
PUNE
PORG
PHUMPREL
PF
POLINT
PHUS
PGOC
PNR
PGGV
PNAT
PGOVE
PRGOV
PRL
PROV
PTERE
PGOF
PHUMBA
PINF
PEL
SNAR
SO
SENV
SU
SCUL
SOCI
SP
SC
SA
SMIG
SAN
SZ
SW
SN
SY
SR
SL
SEVN
SF
SYR
SI
SG
STEINBERG
SIPRS
SH
SNARCS
SOFA
SANC
SHUM
SK
ST
TERRORISM
TRGY
TZ
TX
TBIO
TSPA
TS
TSPL
TW
TU
TD
TIP
TURKEY
TP
TI
TC
TPHY
TH
TO
TK
TNGD
TINT
TRSY
TR
TFIN
TT
UG
UK
UP
UNGA
UNHRC
UZ
UN
UNAUS
USTR
UNSC
US
UNEP
UY
UNESCO
USUN
UNHCR
UAE
UNMIK
USEU
UV
UNO
UNDP
UNCHS
UNVIE
UNCHC
UE
UNDESCO
USAID
UNDC
Browse by classification
Community resources
courage is contagious
Viewing cable 10TRIPOLI116, SHOKRI GHANEM OUTLINES PLANS FOR LIBYA'S NATIONAL OIL CORPORATION REF: 09 TRIPOLI 862 TRIPOLI 00000116 001.2 OF 003 CLASSIFIED BY: Gene Cretz, Ambassador, U.S. Embassy Tripoli, U.S. Department of State. REASON: 1.4 (b), (d)
If you are new to these pages, please read an introduction on the structure of a cable as well as how to discuss them with others. See also the FAQs
Understanding cables
Every cable message consists of three parts:
- The top box shows each cables unique reference number, when and by whom it originally was sent, and what its initial classification was.
- The middle box contains the header information that is associated with the cable. It includes information about the receiver(s) as well as a general subject.
- The bottom box presents the body of the cable. The opening can contain a more specific subject, references to other cables (browse by origin to find them) or additional comment. This is followed by the main contents of the cable: a summary, a collection of specific topics and a comment section.
Discussing cables
If you find meaningful or important information in a cable, please link directly to its unique reference number. Linking to a specific paragraph in the body of a cable is also possible by copying the appropriate link (to be found at theparagraph symbol). Please mark messages for social networking services like Twitter with the hash tags #cablegate and a hash containing the reference ID e.g. #10TRIPOLI116.
Reference ID | Created | Released | Classification | Origin |
---|---|---|---|---|
10TRIPOLI116 | 2010-02-11 16:04 | 2011-01-31 21:09 | CONFIDENTIAL | Embassy Tripoli |
VZCZCXRO1618
PP RUEHBC RUEHDH RUEHKUK RUEHROV
DE RUEHTRO #0116/01 0421617
ZNY CCCCC ZZH
P 111617Z FEB 10
FM AMEMBASSY TRIPOLI
TO RUEHC/SECSTATE WASHDC PRIORITY 5786
INFO RUEHEE/ARAB LEAGUE COLLECTIVE
RUCPDOC/DEPT OF COMMERCE WASHINGTON DC
RUEATRS/DEPT OF TREASURY WASHINGTON DC
RUEHOT/AMEMBASSY OTTAWA PRIORITY 0048
RUEHGA/AMCONSUL CALGARY PRIORITY 0017
RUEHVT/AMEMBASSY VALLETTA PRIORITY 0473
RUEHRO/AMEMBASSY ROME PRIORITY 0676
RHEHAAA/NSC WASHINGTON DC
RUEAIIA/CIA WASHDC
RUEHTRO/AMEMBASSY TRIPOLI 6344
C O N F I D E N T I A L SECTION 01 OF 03 TRIPOLI 000116
SIPDIS
STATE FOR NEA/MAG; STATE PLEASE PASS TO USTR; COMMERCE FOR NATE MASO
E.O. 12958: DECL: 2/11/2020
TAGS: PGOV EPET ECON LY EFIN
SUBJECT: SHOKRI GHANEM OUTLINES PLANS FOR LIBYA'S NATIONAL OIL CORPORATION REF: 09 TRIPOLI 862 TRIPOLI 00000116 001.2 OF 003 CLASSIFIED BY: Gene Cretz, Ambassador, U.S. Embassy Tripoli, U.S. Department of State. REASON: 1.4 (b), (d)
¶1. (C) Summary: In a February 8 meeting with the Ambassador, the head of Libya's National Oil Corporation (NOC), Shokri Ghanem, expressed support for improved Libya-U.S. relations, welcomed the upcoming U.S. Trade Mission, and explained his near-term goals for the NOC, which include plans for increasing oil and gas exploration and production, developing a cadre of Libyan experts to replace the expatriate workforce, and converting all concessions to Exploration and Production Sharing Agreements (EPSA's). While it appears that after his brief hiatus, Ghanem is firmly back at the helm of the NOC, the rumors circulating around Tripoli are that he is disengaged and not closely involved in the running of the organization. End summary.
A "FUNCTIONAL APPROACH" TO U.S.-LIBYAN RELATIONS
¶2. (C) In a February 8 meeting with the Ambassador and Econoff, NOC Chairman Shokri Ghanem welcomed the U.S. Trade Mission (February 20-23), saying that "most, if not all people in Libya" wanted closer relations with the United States. However, he said "politics is getting complicated all over the world." He advocated for a "functional approach" that would focus on "where we agree, not on where we disagree." Ghanem understood that America was "nervous" about terrorism, especially as terrorists continue to come up with new ways of attacking the U.S. (citing the Christmas Day airliner attempted bombing), but in his view, national security policies needed to examine the root causes of terrorism rather than simply focusing on someone's appearance or nationality. He lamented that international travel has become so difficult nowadays, and at times even "degrading" due to extensive security precautions.
PRICE FLUCTUATIONS: THE NEED FOR A LONG-TERM VIEW
¶3. (C) According to Ghanem, the recent fluctuations in the price of oil have affected the NOC's investment plans, as well as government spending plans overall. He advocated for a more prudent approach that would include taking a long-term view of oil revenue and government spending. Ghanem rebuked Libyan officials who tended to spend a lot of government funds when oil prices are high, rather than spreading out expenditures more evenly. He said Libya was committed to adhering to OPEC production quotas and thus even though Libya's current capacity is 2 million barrels per day (b/d), it is only producing 1.5 to 1.6 million b/d, as stipulated by OPEC.
SEARCHING FOR THE MOST ECONOMICAL EXPATRIATE WORK-FORCE
¶4. (C) The Ambassador raised the issue of expatriates assigned by foreign firms to their Libyan partner companies (NOC-owned) in order to share their expertise. (Note: Several American companies have expressed concern about this issue. Their agreements with the NOC called for the NOC to fund the costs of expatriate experts who would be "seconded" to the NOC partner company but few placements have been approved thus far, presumably due to the costs involved. End note). Ghanem said he did not have a problem with foreign companies wanting to bring in their own people, who know the company philosophy and approach, to act as senior managers or to sit on joint management committees. But for more technical positions, as well as administrative jobs, he said Libyans should be hired whenever possible. He said that 76 percent of the positions in the oil and gas industry in Libya were occupied by "foreigners." Many of these positions included directors of training or transportation, jobs that Libyans could do, in his view. He conceded that expatriates were needed for other jobs that required experience with new technologies, such as Enhanced Oil Recovery (using CO2 gas injection) or in exploration. Another concern was the cost of expatriate staff. He said if NOC companies could hire an engineer from India or Brazil for 10,000 USD, they would do so. If the American partners insisted on hiring American engineers (costing 100,000 USD), the Americans could pay the difference.
WATER TAX
¶5. (C) Regarding a water fee imposed on production companies, the Ambassador asked if this was a breach of contract since the IOCs' agreements include free access to water. He added that TRIPOLI 00000116 002.2 OF 003 companies were also concerned because the water fees could not be counted as operating costs, which could be deducted from tax payments. (Note: Reportedly, most IOCs have expressed concern to the NOC over the new requirement that companies must pay for water used in operations for re-injection into the reservoirs; there is a sliding scale according to how brackish the water is, meaning that the freshest water will cost more. According to some IOCs, the new fee is a breach of contract since free access to water is included in the agreements. End note). Ghanem said the water fee was not a breach of contract as regulations regarding the use of fresh water is included in Libya's Petroleum Law. He seemed to intimate that the IOCs were using too much fresh water, which was needed for other uses such as consumption and irrigation. According to Ghanem, some IOCs, such as Spanish Repsol, have paid the water fee (but according to Embassy sources, no foreign companies have paid. One GM reported that the NOC-owned partner companies of some IOCs have paid their water bill, and are expecting the foreign partner to reimburse them).
PLANS FOR GAS
¶6. (C) In a recent press article, Ghanem said Libya would be investing in new gas projects. When the Ambassador asked whether a gas pricing policy had been set, he commented that gas pricing was "very complicated" since in the past, gas was flared, and there was no price. Now, gas for local consumption is subsidized, something that Ghanem was against. He said under the EPSA IV agreements, the price of gas was the international price minus 15 percent of that price.
CONVERTING CONCESSIONS TO EXPLORATION AND PRODUCTION SHARING AGREEMENTS: A LONG-TERM GOAL
¶7. (C) As to whether all agreements with IOCs will be converted to EPSA's, Ghanem stated, "Rest assured, the NOC will honor its agreements," but that in the long-run, they would move everyone to the EPSA system. The NOC's only existing contracts outside of EPSA are with Germany's Wintershall, and the U.S. firms included in the Waha Group (Hess, Marathon, ConocoPhillips). According to Ghanem, in any case, Wintershall said it planned to leave Libya in 2016 when its current concession agreement ends. In his view, once all the companies are under EPSA's, it will be more efficient for the NOC to manage accounting and to monitor their contracts. They have invested in training their accountants and others in the EPSA system in order to simplify their operations, similar to an "assembly line" in a factory. As for the Waha Group, he noted the U.S. firms had been absent from Libya for about 15 years, but that now that they were back, he would continue to discuss converting to an EPSA-type agreement, adding there was "more than one way to skin a cat."
WILL THE LIBYAN NOC BECOME AN INTERNATIONAL COMPANY?
¶8. (C) When asked if Libya still planned to convert the NOC to an international company (IOC), he noted that this was still a long-term goal but that it would be difficult to move the NOC "outside of the bureaucracy" given that Libya's economy is dependent on the oil and gas sector. He said he would like the NOC to eventually become a joint stock company that would pay taxes to the government, like the Waha Group. He opined that this would enable the NOC to raise its salaries to a more competitive level. He noted he had already removed the NOC workforce from the government's civil service employment system, which allowed the NOC more control over its salaries and gave it more power to hire and fire staff.
VERENEX: MEDCO WILL BE THE OPERATOR
¶9. (C) Regarding the recent sale of Canadian-owned oil exploration company Verenex, Ghanem said the Libyan Investment Authority (LIA) had purchased the company and that Medco, Verenex' Indonesian partner, would be the operator. He intimated that the NOC would have exercised its rights to purchase Verenex, (for the same sales price as offered by the Chinese National Petroleum Company) and thus would have honored the agreement with Verenex. However, the GOL's dragging out of the approval of the sale had forced the Verenex share price to decrease by about 30 percent, which in the end, paved the way TRIPOLI 00000116 003.2 OF 003 for the LIA's discounted purchase.
¶10. (C) Bio Note and Comment: During the meeting, Ghanem counted Islamic prayer beads, yet appeared relaxed, candidly answering the Ambassador's questions. Ghanem attributed his October 2009 hiatus from the NOC to his desire to "catch up on movies, read books, and rest." He voiced a commitment to honoring all of the NOC's current contracts, but said he would continue to pursue the goal of converting all IOC contracts to EPSA's. While it appears that after his brief hiatus, Ghanem is firmly back at the helm of the NOC, the rumors circulating around Tripoli are that he is disengaged and not closely involved in the running of the organization, but rather his deputy, Ali Sgheir,is truly in charge, and taking direction from the top leadership of Libya. Ghanem reportedly returned to the NOC at Saif al-Islam's strong urging, and he may be waiting to see how Saif's future unfolds before making any more personal career decisions. End comment. CRETZ