Libyan prime minister Ali Zeidan ‘isolated’ on oil issues

Prime minister Ali Zeidan is "licking his wounds" following a clash with the president of the General National Congress (CGN), Nuri Ali Abu Sahmain, on providing security at oil facilities that are being blocked by former rebels demanding compensation and immunity.

Specialist news provider Maghreb Confidential reports that the GNC's decision on 3 September to form a panel of 13 legislators from all parts of the country to resolve the problem has pushed the prime minister and his staff - already in difficulty on security issues - further onto the sidelines.

"The lawmakers will try to use their local and tribal ties to make the militia 'see reason'. That would be bypassing the government whose intent is on dismantling the militiamen," Maghreb Confidential reported.

Zeidan's proposal to bring in foreign troops - in this case, Turkish - to deal with the militia was immediately rejected by the GNC and even by the boss of the National Oil Corporation (NOC), Nuri Berruin. Oil production has plunged from over 1 million barrels per day to an average of around 100,000.

Malta has signed a memorandum of understanding with Libya for the procurement of oil products and crude oil at advantageous rates or at fixed cargo prices, a coup for the Maltese government which however depends on the Libyan government's control of oil production.