Page 11 - AfrOil Week 40 2021

AfrOil POLICY AfrOil

Both GME and Medgaz pump Algerian gas to Spain (Image: Wikimedia)

Failure to do so in time will deprive Morocco of a diplomatic spat following the recognition of
1bn cubic metres of natural gas annually that it Moroccan sovereignty over Western Sahara by
receives on favourable terms, while simultane- the US as a reward for Morocco’s recognition
ously depriving Algeria of a much needed forex of the state of Israel. These development led to
earnings. the breakdown of diplomatic relations between
Even if Algeria is able to reroute some gas Algiers and Rabat. As a result, Algeria, which
exports via the alternative Medgaz pipeline, has hosted the Polisario independence move-
which stretches directly from Algeria to Spain, it ment for the Western Sahara in the past, has
would still do better to retain its access to GME. been accusing Morocco of hostile actions ever
Algeria and Morocco have been caught in since. ™

PROJECTS & COMPANIES
More details emerge as NOC begins

work on new refinery in southern Libya

LIBYA THE Libyan government and the National Oil
Corp. (NOC) announced this week that work
has begun on constructing a new refinery near
the country’s El Sharara oilfield, providing fur-
ther information about the planned facility.
During a ceremony at NOC’s headquarters
in Tripoli, the company’s chairman Mustafa
Sanalla said that the so-called South Refinery
would be completed and come on stream within
the next three years. Sanalla noted that the facil-
ity was expected to cost around $500-600mn The plant will be near the Sharara oilfield (File Photo)
and earn $75mn per year.
The refinery will be run by NOC subsidiary The precise location and capacity of the plant
Zallaf Co.. It will produce LPG, jet fuel and other have not yet been revealed. NOC has previously
products, including 1.4mn litres per day of gaso- announced plans to build a 50,000 barrel per day
line and 1.1mn litres per day of diesel. (bpd) unit near El Sharara.

Week 40 06•October•2021 www. NEWSBASE .com P11