Somaliland Mining and Energy Minister Dr. Hussein Ahmed Du’ale denies 2.5% oil deal

[Saalax]

Possible oil exploration deal still leaves more questions than answers

 

December 16, 2011

Hargeisa (Somalilandpress) – Somaliland Mining and Energy Minister Dr. Hussein Ahmed Du’ale recently spoke to SomalilandPress reporter Shiine Elmi Kahin concerning possible oil deals that the Government of Somaliland is considering entering into with foreign oil companies.

Firstly, the Minister gave lengthy explanation on the oil deals that his ministry signed with foreign firms and he told our reporter they entered an agreement with British company by the name of Ophir Energy.

 

He firmly denied reports published by the local press claiming in the oil deal that Somaliland will receive 2.5%. He claimed it been wrongly misinterpreted and said that this is totally baseless. The thing is the license and the interest for the firm and the British firm is working with RAKGAS which has its share and both will receive about 75 percent. Therefore RAKGAS will earn 25 percent. He made clear that the British Oil company Ophir Energy starts exploration on the ground and engineers from the firm are due to arrive in the country shortly. The Minister mentioned that the exploration survey will last for thirteen months and once it comes to an end, oil production begins in the country. He said that the profit from the oil production agreement that the government of Somaliland signed with foreign firms will be equally shared.

The minister was asked about why the Government had not drawn up a new Act of Oil and Mining (the existing one dating back to the time of the Said Barre regime). He stated that that process was underway and that they were seeking assistance in this regard from the Norwegian Government. It is hoped that the said Act will be put before the Council of Somaliland Ministers and Parliament in the near future.

 

In the interview, the minister was asked questions concerning different issues and he told that his ministry is in charge of an enormous portfolio including of water, minerals and energy. He stated that the Ministry was trying to tackle on-going shortages and increase water production by setting up ten water wells at Xumboweyne and Jaleel districts which are located on the North east of Hargeisa. The Minister once asked about carrying out his ministry’s strategy to find lasting solution to the water scarcity in the country’s main urban areas, he responded that this issue worries him the most and he expects to bring it to an end. At the beginning of this year, the General Manager of Hargeisa Water Agency and I went to Kenya’s capital of Nairobi and we met there with International donors and we put forward the water shortage that the country is confronted with.The minister said that the EU responded to our appeal and pledged to provide 5 per cent of the budget allocated to water supplies in Hargeisa and assured that the fund will be available soon. The minister added that if we got 50 per cent, we plan that the public as well as the government will the take the brunt of raising the rest.

 

http://somalilandpress.com/possible-oil-exploration-deal-still-leaves-more-questions-than-answers-24907

 

Wasiirka Macdanta iyo Biyaha Oo Sharaxaad Ka Bixiyey Heeshish Ay Xukumaada Somaliland La Gashay Shirkad Shiidalka qoda.

 

http://oodweynenews.com/news/126094-wasiirka-macdanta-iyo-biyaha-oo-sharaxaad-ka-bixiyey-hesiis-ay-xukuuumada-somaliland-la-gashay-kambaniga-ophir-energy-2.html

[Dr_Osman]

Bosaso and Galkayo implement 3 tier water system. First the Public system which is the one most people are connected to it via piped water to households, if thats not possible they can have second option of having water trucked to them and if they cant afford that they can just go to one of the water wells in each settlement and fill up their water tanks free of charge.

 

It's crazy relying on one water source as hargeisa does thats why their such water shortage crisis there always. You never put your eggs in all one basket!!! you diversify so if one source is not possible there is other avenues while at the same building up your infrastructure in the mean time is the way to go about it!!!

 

As for the oil I don't think thats possible in Somaliland but I wont go into here with you!!!

[Somalia]

I think my work here is done, Dr_Osman is leading the army into battle

[Peace Action]

Fadhi Kudirir aside, the progress and development of Somaliland is good for all Somalis. Don't worry about the percentages, just let the exploration begin for the black gold.

[Dr_Osman]

Any oil investor would be mad to touch somaliland un-recognized and the legal ramifications that can ensue with mogadishu is even worse. Puntland has signed an agreement allowing itself to go into deals with foreign companies it's in the galkacyo accord and in the memorandum of understanding which was re-signed again in garowe with the current PM.

 

Puntland has the legal justifications to explore its natural resources but somaliland doesn't and if any oil investor doesn't think this through their really setting themselves up for big can of worms. I say no to somaliland oil exploration thats if it's even true to begin with!!! Kinda reminds me of the fancy airport now its a fancy run-way

[Freedom]

So that is your argument huh loool, we got permission do due it and Somaliland cant lool YOU funny due. TFG nor you can say what somaliland does so get out of our bussiness as we do on your bussiness cowker lol.