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Block 13 Oil production contract to attract US$50m if

By James Akoi

(mylbsonline/Liberia)-Liberia stands to get US$50m as up-front fees and taxes, if she signs and ratifies the production sharing contract.

Liberia entered into a production sharing contract with EXXON Mobile and the Canadian Overseas Petroleum Limited, COPL.

The production Sharing Contract allocates the most talked about Block 13 to COPL and EXXON Mobile, the world’s leading petroleum giant.

NOCAL President, Dr. Randolph McClain, made the disclosure Thursday 7th March, 2013 at the Information Ministry’s regular news conference.

The news conference was held at the Charles Gbeyon Memorial Lecture Series at the Ministry on Capitol Hill in Monrovia. Dr. McClain said: “The University of Liberia will benefit from the new agreement in the tune of US$150,000 annually.”

“The agreement embraces local participation, training opportunities, job creation, and scholarships for deserving Liberian students,” the NOCAL President also said.

He called on Liberians to embrace the ratification of Oil Block 13, because he said: “It will contribute greatly towards sustaining Liberia’s economic growth and national development.”

At the same time, Deputy Finance Minister, Dr. James Kollie, also addressed the Information Ministry’s regular news conference Thursday.

Dr. Kollie said: “The re-negotiation of Oil Block 13 will provide more money to tackle government’s robust Agenda for Transformation.”

“The new agreement also calls for 5 – 10 percent royalty to Liberia. Such amount of royalty was never included in previous contracts,” he said.

The re-negotiated Oil Block 13 agreement is currently before the President for signing. 

 


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