NOC wins arbitration case over Ras Lanuf Refinery in Libya

NOC ArbitrationNOC called for the refinery to restart production as early as possible. (Image source: NOC)Libya’s National Oil Corporation (NOC) has won two international arbitration cases for the 220,000 bpd-capacity Ras Lanuf Refinery, and said that production would resume as early as possible

The arbitration was brought against NOC in front of ICC Court in Paris by Trasta Energy Limited, a subsidiary of the Emirati Al Ghurair Investment Group, and the Libyan Emirati Refining Company (Lerco), owner and operator the Ras Lanuf Refinery and a joint venture between NOC and Trasta.

Mustafa Sanalla, chairman of the NOC board said, “We stress the importance of Lerco re-starting operations Ras Lanuf Oil Refinery as soon as possible.”

Trasta and Lerco commenced the arbitration proceedings against NOC in late 2013 and it has taken the two cases’ tribunals over three years to decide on the dispute and issue final rulings. On 5 January 2018, the ICC Tribunal dismissed all Lerco damage claims against NOC which amounted to the total of US$812mn.

The tribunal awarded NOC compensations for its counterclaims totalling approximately US$116mn with interest.

Sanalla added, “NOC will now take all necessary steps and procedures to ensure the enforcement of the award issued in the Lerco case by the Arbitration Tribunal on 05 January 2018.”

The company further asked Trasta and Lerco to fully comply with the implementation of their contractual obligations.

Alain Charles Publishing, University House, 11-13 Lower Grosvenor Place, London, SW1W 0EX, UK
T: +44 20 7834 7676, F: +44 20 7973 0076, W: www.alaincharles.com

twn Are you sure that you want to switch to desktop version?