Invalid LicencesHi Mark,
In light of the latest news from the Somali government that the licences in Puntland are invalid, I was wondering are are HRN intending on negoitating new licences or are there plans on moving into another region in East Africa? If new licences are being sought, how long will it be before they are secured.
Again, any insight would be appreciated.
Regards,
Hello,
As I am sure you know, the issues regarding the various interpretations of Somalia's fledgling constitution, how powers are devolved to the states and what powers can be exercised are complex. The recent statement made by the Mogadishu administration is, on the face of it unhelpful when looking at our licences. That said, the Puntland government has a very different interpretation regarding the legality of contracts that it has awarded, including ours. The matter of clarification of this federal system has far broader implications for Somalia than just the oil & gas industry and for that reason, the international community is working very hard with Mogadishu and the states to help align them behind an agreed approach. There is therefore sound rational for us to remain engaged both to secure our rights under our licences and determine options for future exploration activity.
Regards,
Mark