The British agency Global Platts revealed that a Middle Eastern construction company has obtained approval to seize assets from the National Oil Corporation (NOC) to recover nearly $1 billion following the cancellation of a resort construction project.
The agency said construction of the complex, which was planned to include apartments, a shopping center, and restaurants, was expected to take seven and a half years and cost approximately $130 million. However, shortly after the contract was signed, several Libyan government entities claimed ownership of the land, and Al-Kharafi was asked to leave. At one point, the company complained that its workers had been assaulted by police officers who claimed ownership of the land.
Al-Kharafi was offered an alternative site but rejected it, and in 2010, the Libyan government cancelled the construction project’s license.
The agency continued by saying that in July last year, approval was granted for the company to acquire the National Oil Corporation’s stake in joint ventures with TotalEnergies. The French company has been present in Libya since 1954 and is currently involved in several oil and gas projects with the National Oil Corporation.
The agency noted that the latest appeal filed by the Libyans with the Paris Court of Appeal was unsuccessful, although other avenues of appeal remain open. Including interest, the amount owed to Al-Kharafi stands at $960.2 million, according to the agency.
