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	<title>Exxon &#8211; FrontPageAfrica</title>
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		<title>Liberia: Conflict of Interest Clouds Investigator Appointed in Global Witness Exxon Bribery Saga</title>
		<link>https://frontpageafricaonline.com/liberia-conflict-of-interest-clouds-investigator-appointed-n-global-witness-exxon-bribery-saga/</link>
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		<dc:creator><![CDATA[FPA Staff Reporter]]></dc:creator>
		<pubDate>Sun, 01 Apr 2018 23:16:59 +0000</pubDate>
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		<category><![CDATA[AMK]]></category>
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		<category><![CDATA[GW]]></category>
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					<description><![CDATA[Monrovia – Liberian President George Manneh Weah has ordered his Minister of Justice Cllr. Frank Musa Dean to report to him within two weeks with a finding into&#8230;]]></description>
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<p><strong>Monrovia</strong> – Liberian President George Manneh Weah has ordered his Minister of Justice Cllr. Frank Musa Dean to report to him within two weeks with a finding into the explosive report by the London-based watchdog group Global Witness alleging that the U.S. petroleum giant Exxon 2013 purchase of Liberia’s Block 13 oil license likely enriched former government officials who may have illegally owned the block.</p>
<p>  <span id="more-7415"></span> </p>
<hr />
<p><em><span style="font-size: 12pt; color: #999999;">Report by Rodney D. Sieh, rodney.sieh@frontpageafricaonline.com</span></em></p>
<hr />
<p>The report also alleges that the oil company made unusual, large payments to senior government officials who authorized the 2013 deal. <span style="font-size: 12.16px;"> </span></p>
<p>A FrontPageAfrica investigation has however spotted a potential monkey wrench in the quest of the Weah-led government to get to the bottom of the controversy with the designated head of the probe, Cllr. Dean at the center of a conflict of interest quagmire. </p>
<p><strong>Several Oil Blocks Under Dean’s Watch</strong><strong> </strong></p>
<p>Cllr. Dean was Head of the National Oil Company of Liberia during the first bid round in 2004.</p>
<p>It was under Cllr. Dean’s tenure that the initial block was tentatively awarded, raising serious issues likely to thwart the two-week deadline ordered by the President.<span style="font-size: 12.16px;"> </span></p>
<p>In addition to Oil Block 13, Cllr. Dean also oversaw the negotiations of Repsol Block 17, Oranto Block 12, 16, 15, 13, 11, 9 &amp; 8. </p>
<p>Global Witness has urged the Weah administration to look into the matter and the administration has obliged. </p>
<p>In a statement signed by Information Minister Lenn Eugene Nagbe Saturday, the administration said it is in receipt of information from several international groups including Global Witness and Wall Street Journal alleging grave acts of corruption on the part of several former government officials relating to the sale of oil block 13 to Exxon Mobil.<span style="font-size: 12.16px;"> </span></p>
<p>“Although President George Manneh Weah has already commissioned a general concession review, including concessions in the oil sector.&#8221;</p>
<p>&#8220;These allegations of bribery and misuse of office are deeply concerning.&#8221;</p>
<p>&#8220;The President has therefore instructed the Minister of Justice Cllr. Frank Musa Dean Jr. to investigate the matter and submit a preliminary report to him within two weeks.&#8221;</p>
<p>&#8220;The President said if illegality is determined, those culpable would bear the full weight of the law. He urged all to cooperate,” the statement concluded. </p>
<p>Now with the revelation of Cllr. Dean’s proximity to the initial bid rounds, it is unclear how the administration will proceed. </p>
<p>Block 13 was originally awarded by NOCAL in 2005 to Liberian-Anglo company Broadway Consolidated/Peppercoast (BCP). In 2007, the block was ratified by the Liberian legislature through bribery.<span style="font-size: 12.16px;"> </span></p>
<p>In its investigation, the watchdog group published evidence it says shows that the company was likely part-owned by former Mining Minister Jonathan Mason and former Deputy Minister Mulbah Willie.<span style="font-size: 12.16px;"> </span></p>
<p>Mason and Willie are suspected of granting the oil block to a company in which they held interests while they were also ministers in 2005, which was illegal under Liberian law.<span style="font-size: 12.16px;"> </span></p>
<p>Exxon knew that Block 13 was originally awarded through bribery and that its purchase of the oil block could enrich former officials who might have been behind BCP. </p>
<p>GW reported that in a PowerPoint presentation it obtained, Exxon wrote that it was interested in purchasing the oil block despite its “concern over issues regarding US anti-corruption laws.”<span style="font-size: 12.16px;"> </span></p>
<p>GW noted that despite several red flags, Exxon went ahead with the deal anyway. Global Witness’ evidence shows that it structured the transaction in a way to skirt US anti-corruption laws by using a Canadian company – Canadian Overseas Petroleum Limited (COPL) – as a go-between to buy the block. </p>
<p>Senior Campaigner Jonathan Gant declared, “It’s appalling that an oil giant like Exxon would buy up an oil block they knew was tainted by corruption.<span style="font-size: 12.16px;"> </span></p>
<p>“This kind of morally dubious corporate behavior is particularly shocking in a country like Liberia where endemic corruption continues to rob people of opportunities.”</p>
<p><strong>Liberian Equity Shareholders?</strong><strong> </strong></p>
<p>Many industry observers are unsure what exactly will the government be investigating given that government is a continuum: The fact that employee bonuses were bribes?</p>
<p>Or that the disclosure documents GOL received from Broadway/Pepper Coast contained names of Liberian officials as equity shareholders? Was it that EXXON introduced COPL to Liberia to evade the Foreign Corrupt Practices Act (FCPA)? </p>
<p>Complicating the controversy is the fact that disclosure documents were filed with the respective stock exchanges and all companies with the exception of Broadway are publicly-traded although Broadway’s primarily owner, RAB Capital was publicity traded.</p>
<p>One legal observer said Saturday it may be near impossible to list government officials as owners owing to the fact that only one Liberian shareholder was listed Cllr David Jallah, who was not a GOL official.</p>
<p>Several of those named in the report have confirmed to FrontPageAfrica that bonuses were documented in Board minutess as well as financial statements and it has been publicly documented that Broadway/Pepper Coast and COPL were owned by RAB Capital.</p>
<p>They were sister companies Broadway borrowed money from COPL using LB#13 as collateral (illegally) months prior to Exxon being introduced to the block. </p>
<p>Former Justice Minister Christiana Tah, in her response to Global Witness which she shared with FrontPageaAfrica after the release of the reported said: “Bonus payments were authorized by NOCAL </p>
<p>The Board of Directors to all NOCAL Staff and others who performed exceptionally in conducting the negotiations on the Exxon Contract.</p>
<p>These bonus payments were made long after the Exxon deal concluded. I understand that even drivers received bonuses.</p>
<p>Do you mean to tell me that Exxon was so desperate that it even bribed drivers? I did not receive money or an offer to pay money from Exxon-Mobil for the award of the oil contract related to Block 13, neither am I aware of anyone who may have requested or received a bribe from the aforesaid company, directly or indirectly.” </p>
<p>Mr. Robert Sirleaf, who was board chair at the time acknowledged that after the contract was signed and the funds transferred, NOCAL paid a bonus to ALL officers, board members and employees of NOCAL (approx. 140+) including drivers, janitors, secretaries and clerks. <span style="font-size: 12.16px;"> </span></p>
<hr />
<p style="text-align: center;"><img decoding="async" class=" size-full wp-image-13256" src="http://new.frontpageafricaonline.com/wp-content/uploads/2018/04/exxon-chart.jpg" alt="" width="865" height="1124" /></p>
<hr />
<p>“I’m very sure one wouldn’t draw any conclusions that a bonus paid to the entire Company, including all junior staff, was a “bribe.&#8221;</p>
<p>&#8220;So, your suggestive is preposterous. In fact, the signature bonus Liberia received for the Block 13 contract was about fifteen times more than the largest signature bonus Liberia had previously negotiated for any oil contract,” Mr. Sirleaf, who is also the son of former President Ellen Johnson-Sirleaf told Global Witness.  </p>
<p>Former Finance and Economic Planning Minister Amara Konneh for his part categorically denied accepting a bonus through an official NOCAL check as did all others.</p>
<p>“I, Amara M. Konneh, as Minister of Finance and Development Planning at the time, did not solicit or request a bonus or any other payment for the work that I did for the benefit of my country&#8217;s oil burgeoning hydrocarbon program.”  </p>
<p>COPL reportedly contracted to acquire the Broadway/Peppercoast contract and invested at least US$15,000,000 in the contract well before Exxon/Mobil entered the picture. Prior to Exxon/Mobil entered the picture; COPL and Broadway/Peppercoast had already threatened to invoke the international arbitration clause in the contract if NOCAL attempted to terminate the contract.   </p>
<p>The financial backers of COPL and Broadway/Peppercoast, according to NOCAL at the time, had the funds to pursue such arbitration, and even if the arbitration was resolved in favor of Liberia, it could have taken years to reach that conclusion, according to NOCAL. </p>
<p>The oil company was adamant that neither COPL nor Broadway/Peppercoast had the financial or technical capabilities to drill in Liberia’s off-shore deep waters.<span style="font-size: 12.16px;"> </span></p>
<p>From Liberia’s perspective, the argument for NOCAL was that its budding oil sector was faced with a choice between a long, uncertain arbitration process and the possibility of getting stuck with a second-rate exploration company, or an immediate budget contribution of $45 million to Liberia and $5 million to NOCAL, and transfer of operational responsibility under the contract to one of the world’s most highly regarded off-shore operators. <span style="font-size: 12.16px;"> </span></p>
<p><strong>Arbitration Concerns</strong><strong> </strong></p>
<p>If the arbitration had occurred, and if Liberia had eventually prevailed, any new contract would likely have been entered at a time at which oil was under US$50 per barrel, rather than the then nearly $100 per barrel. <span style="font-size: 12.16px;"> </span></p>
<p>It is noteworthy that the highest bid in Liberia’s 2014 bid round was $15,000,000 per block, and the two bidders involved backed out of the deal as the oil price continued to fall. </p>
<p>NOCAL boasted at the time that Liberia clearly came out ahead and financially benefited by going forward with Exxon/Mobil rather than trying to terminate the contract. </p>
<p>For the immediate future, many Liberians are cautiously optimistic about the trend the pending investigation in the latest Global Witness investigation will follow.</p>
<p>Many have been left disappointed at the outcome of the previous GW bombshell which uncovered more than US$950,000 in bribes and other suspicious payments by UK mining firm Sable Mining and its Liberian lawyer, Varney Sherman.<span style="font-size: 12.16px;"> </span></p>
<p>The report dubbed <a href="http://www.globalwitness.org/thedeceivers" rel="nofollow noopener" target="_blank">The Deceivers</a> (1), showed how in 2010 Sable hired Cllr. Sherman, the former chair of the then ruling Unity Party government, in an effort to secure one of Liberia’s last large mining assets, the Wologizi iron ore concession in northern Liberia.</p>
<p>Senator Sherman told Sable that in order to obtain the contract the company must first get Liberia’s concessions law changed by bribing senior officials, according to a source familiar with the discussions. GW was able to  back up the account with leaked emails and company documents.<span style="font-size: 12.16px;"> </span></p>
<p>The investigation headed by Cllr. J. Fonati Koffa sought and won indictment of the former Speaker of the House of Representatives Alex Tyler, Senator Sherman and others for allegedly committing multiple criminal offences, bribery, economic sabotage, criminal conspiracy, solicitation and facilitation. </p>
<p>While the arrest of Tyler and attempted arrest of Cllr. Sherman generated a lot of public interest, the case eventually died a natural death with the new government appearing unlikely to pick up where the old government left. </p>
<p>GW appeared unhappy with the trend of the last case, when it unveiled its report on the Exxon sale.</p>
<p>“Liberia’s attempts to stop corruption have failed – most notably the Sable Mining bribery debacle,” said Gant.<span style="font-size: 12.16px;"> </span></p>
<p>“It is time for President George Weah to show that he is a reformer and task the Ministry of Justice and Anti-Corruption Commission to investigate immediately.”<span style="font-size: 12.16px;"> </span></p>
<p>The probe of the Exxon deal is expected to resurrect some old faces and at least one current lawmaker, Rep. Adolph Lawrence. GW reports that there is strong evidence that Rep. Lawrence, who became a Representative in 2012, held a BCP ownership interest in 2011.</p>
<p>If Lawrence continued to hold this interest when Exxon bought 2013, he also would have broken the law and may have received part of the money Exxon paid BCP.<span style="font-size: 12.16px;"> </span></p>
<p>The report also suggested that if former Lands, Mines and Energy Minister Jonathan Mason did own BCP shares when Exxon bought Block 13, he would have received a share of the US$68.5 million Exxon paid BCP.<span style="font-size: 12.16px;"> </span></p>
<p><strong>Article 90(b) in Play</strong><strong> </strong></p>
<p>Mulbah Willie, another former official, who was an assistant minister at LM&amp;E died in 2012, so any money he was owned would likely have gone to his estate.</p>
<p>GW reported that COPL informed its investigators that its due diligence showed that there were no legal problems with the deal, that Mason did not hold shares in BCP, shareholders certified they held no interest for others, and that it received legal advice on its anti-corruption and anti-money laundering obligations.</p>
<p>The company stated that Lawrence resigned from a job he held with BCP in 2011 and that any money he received was reported to the Liberian Government.<span style="font-size: 12.16px;"> </span></p>
<p>Global Witness has also seen evidence that shortly following the authorization of the 2013 Exxon deal senior Liberian officials were paid “bonuses” of US$35,000 by NOCAL – more than doubling their annual salaries.<span style="font-size: 12.16px;"> </span></p>
<p>These officials, and the positions they held at the time, were: NOCAL CEO Randolph McClain, National Investment Chairman Natty Davis, Finance Minister Amara Konneh, Mining Minister Patrick Sendolo, NOCAL Board Chair Robert Sirleaf, who is the son of then-President Ellen Johnson Sirleaf and  Justice Minister Christiana Tah Robert Sirleaf was reportedly working pro-bono at the time.</p>
<p>However, he too received a payment of US$35,000. </p>
<p>For now, some Liberians are raising concerns about the potential breach of Article 90(b) of the Constitution which states:</p>
<p>“No person holding public office shall demand and receive any other perquisites, emoluments or benefits, directly or indirectly, on account of any duty required by Government”.<span style="font-size: 12.16px;"> </span></p>
<p>Contacted Sunday, Global Witness lead campaigner Jonathan Gant said It’s very encouraging that President Weah has called for an investigation into the 2013 Block 13 deal,” but cautioned that the review must be led by an independent investigator.</p>
<p>“Justice Minister Musa Dean should not lead it because he has a fundamental conflict of interest, having signed Broadway’s 2005 contract when head of NOCAL.” </p>
<p>The evolving saga could likely prove to be the first major test of the Weah presidency with the world paying keen attention to yet another Global Witness investigation unraveling allegations of bribery, illegal bonuses and a corruption label which dogged its predecessor and now poised to ignite a lightning rod of enormous implications.</p>
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		<title>President Weah Orders Investigation of Exxon Mobil &#8216;Fraudulent&#8217; Acquisition of Oil Block 13</title>
		<link>https://frontpageafricaonline.com/liberia-president-weah-orders-investigation-of-exxon-mobil-fraudulent-acquisition-of-oil-block-13/</link>
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		<dc:creator><![CDATA[Lennart Dodoo]]></dc:creator>
		<pubDate>Sun, 01 Apr 2018 00:01:20 +0000</pubDate>
				<category><![CDATA[Uncategorized]]></category>
		<category><![CDATA[Exxon]]></category>
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					<description><![CDATA[Monrovia – President George Manneh Weah has mandated Justice Minister Frank Musa Dean to investigate recent Global Witness report linking some ex-officials of government to an alleged bribery scheme&#8230;]]></description>
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<p class="p1"><strong>Monrovia</strong> – President George Manneh Weah has mandated Justice Minister Frank Musa Dean to investigate recent Global Witness report linking some ex-officials of government to an alleged bribery scheme that led to the awarding of Oil Block 13 to Exxon Mobil.</p>
<p>  <span id="more-7399"></span>  </p>
<p class="p2">The investigation comes at the heels of a general concession review, including concessions in the oil sector.</p>
<p class="p2">It can be recalled that similar investigation and prosecution were commissioned by former President Ellen Johnson Sirleaf when Global Witness uncovered how some ex and current officials (at the time) were involved in conflict of interest and solicitation of bribes to effect changes in public procurement concessions laws, mainly affecting the mining sector, to create free ride for the awarding of Wologozi concession to Sable Mining Limited.</p>
<p class="p2">Current Justice Minister Dean served as lawyer for Senator Varney Sherman who was heavily indicted in the alleged bribery scandal.</p>
<p class="p2">In its report, Global Witness urged the Liberian government to investigate Exxon’s US$120 million oil deal and ensure independence of the Liberia Industries Transparency Initiative.</p>
<p class="p2">Those likely to be investigated by the Justices Minister include former NOCAL CEO Randolph McClain, former National Investment Commission Chairman Natty Davis, former Finance Minister Amara Konneh, former Lands and Mines Minister Patrick Sendolo, former NOCAL Board Chair, Robert A. Sirleaf and former Justice Minister Christiana Tah.</p>
<p class="p2">According to the report, these ex-officials received US$35,000 to sign off on Block 13 to Exxon Mobil.</p>
<p class="p2">Block 13 was originally awarded by NOCAL in 2005 to Liberian-Anglo company Broadway Consolidated/Peppercoast (BCP). In 2007, the block was ratified by the Liberian legislature through bribery.</p>
<p class="p2">But Global Witness’ evidence shows that the company was likely part-owned by former Mining Minister Jonathan Mason and former Deputy Minister Mulbah Willie.</p>
<p class="p2">Mason and Willie are suspected of granting the oil block to a company in which they held interests while they were also ministers in 2005, which was illegal under Liberian law.</p>
<p class="p2">Exxon knew that Block 13 was originally awarded through bribery and that its purchase of the oil block could enrich former officials who might have been behind BCP.</p>
<p class="p2">In a PowerPoint presentation obtained by Global Witness, Exxon wrote that it was interested in purchasing the oil block despite its “concern over issues regarding US anti-corruption laws.”</p>
<p class="p2">Undeterred by the corruption red flags, Exxon went ahead with the deal anyway. Global Witness’ evidence shows that it structured the transaction in a way to skirt US anti-corruption laws by using a Canadian company – Canadian Overseas Petroleum Limited (COPL) – as a go-between to buy the block.</p>
<p class="p2">“It’s appalling that an oil giant like Exxon would buy up an oil block they knew was tainted by corruption,” said Jonathan Gant, Senior Campaigner at Global Witness.</p>
<p class="p2">“This kind of morally dubious corporate behavior is particularly shocking in a country like Liberia where endemic corruption continues to rob people of opportunities.”</p>
<p class="p2">If Mason did own BCP shares when Exxon bought Block 13, he would have received a share of the US$68.5 million Exxon paid BCP. Willie died in 2012, so any money he was owned would likely have gone to his estate.</p>
<p class="p2">There is also evidence that Adolph Lawrence, who became a Representative in 2012, held a BCP ownership interest in 2011.</p>
<p class="p2">If Lawrence continued to hold this interest when Exxon bought 2013, he also would have broken the law and may have received part of the money Exxon paid BCP.</p>
<p class="p2">Exxon has not responded to Global Witness’ request for comment. COPL has, saying its due diligence showed that there were no legal problems with the deal, that Mason did not hold shares in BCP, shareholders certified they held no interest for others, and that it received legal advice on its anti-corruption and anti-money laundering obligations.</p>
<p class="p2"> </p>
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		<title>Bonuses or Bribes? Sirleaf-Era Officials Slam ‘Malicious’ Global Witness Bombshell</title>
		<link>https://frontpageafricaonline.com/bonuses-or-bribes-sirleaf-era-officials-slam-malicious-global-witness-bombshell/</link>
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		<dc:creator><![CDATA[FPA Staff Reporter]]></dc:creator>
		<pubDate>Fri, 30 Mar 2018 00:49:28 +0000</pubDate>
				<category><![CDATA[Uncategorized]]></category>
		<category><![CDATA[Exxon]]></category>
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					<description><![CDATA[Monrovia &#8211; A damning report by the London-based corruption watchdog group, Global Witness, released Thursday, March 29, alleging that the US petroleum giant, Exxon’s 2013 purchase of Liberia’s&#8230;]]></description>
										<content:encoded><![CDATA[<p><img loading="lazy" decoding="async" class=" size-full wp-image-13232" src="http://new.frontpageafricaonline.com/wp-content/uploads/2018/03/bribes-exxon2.jpg" alt="" width="1080" height="687" /></p>
<p><strong>Monrovia</strong> &#8211; A damning report by the London-based corruption watchdog group, Global Witness, released Thursday, March 29, alleging that the US petroleum giant, Exxon’s 2013 purchase of Liberia’s Block 13 oil license likely enriched former officials who may have illegally owned the block, is being greeted with strong condemnations by these officials of the Ellen Johnson-Sirleaf-led administration, including her son, Robert A. Sirleaf.</p>
<p>  <span id="more-7387"></span> </p>
<hr />
<p><span style="font-size: 12pt; color: #999999;"><em>Report by Rodney D. Sieh, rodney.sieh@frontpageafricaonline.<a style="color: #999999;" href="mailto:rodney.sieh@frontpageafricaonline.com">com</a> </em></span></p>
<hr />
<p>Global Witness is a non-governmental organization that investigates and campaigns to prevent natural resource-related conflict and corruption and associated environmental and human rights abuses. </p>
<p>The report also alleged that the National Oil Company of Liberia (NOCAL) also made unusual, large payments to senior government officials, who authorized the 2013 deal and is calling on Madam Sirleaf’s successor, President George Manneh Weah, to investigate those involved in Exxon’s 2013 oil deal for corruption or wrongdoing.</p>
<p>The GW report alleges that its evidence suggests that shortly following the authorization of the 2013 Exxon deal senior Liberian officials were paid “bonuses” of US$35,000 by NOCAL – more than doubling their annual salaries.<span style="font-size: 12.16px;"> </span></p>
<p>Those listed as receiving payments are: former NOCAL CEO Randolph McClain, former National Investment Chairman Natty B. Davis, former Finance Minister Amara Konneh, former Lands, Mines and Energy Minister Patrick Sendolo, NOCAL Board Chair Robert Sirleaf, the son of then President Ellen Johnson Sirleaf and former Attorney General Christiana Tah. </p>
<blockquote>
<p>Global Witness wrote: “Robert Sirleaf was reportedly working pro-bono at the time. However, he too received a payment of US$35,000. The evidence shows that these payments were associated with the Exxon deal.</p>
<p>The payments were probably made from the same bank account into which Exxon had recently deposited part of its bonus to NOCAL, although there is no evidence that Exxon knew about them.” </p>
</blockquote>
<p>In separate responses Thursday, both Mr. Sirleaf and the former Justice Minister sent separate communications they said were submitted to Global Witness as part of their responses. </p>
<p>Former Minister Tah, in her response took exception to the report’s findings and Global Witness in particular, terming the report’s accusations that she was offered or received bribe as “malicious”.<strong> </strong></p>
<p><strong>Former Minister Tah: ‘Appalled’ Over Bribery Label</strong> </p>
<p>In her response dated March 7, 2018, the former Justice Minister wrote:</p>
<p>I am writing in response to the March 7, 2018 unsigned letter which you sent to me under Global Witness’ letterhead, accusing me of “likely” accepting a bribe in relation to a contract entered into between the National Oil Company of Liberia (NOCAL) and Exxon-Mobil in 2012, at a time when I served as Minister of Justice of the Republic of Liberia.</p>
<p>I have chosen to address this letter to you because I understand you have dispatched similar letters under your signature with accusations of bribery against other parties who worked on securing for Liberia the advantages of an exploration agreement between NOCAL and Exxon. </p>
<p>We have never spoken and I have no idea what your agenda is. I am appalled by the fact that you think it is ethical to allege bribery without first seeking out the facts.</p>
<p>Indeed, I am of the impression that it makes little difference to you whether you have facts right before making these allegations; hence I understand that the Chair of the Advisory Board has already expressed a cautionary note within Global Witness concerning the anticipated publication.</p>
<p>Hopefully, this letter (along with any other responses which I expect you are receiving  will give Global Witness cause for concern that not only are you acting recklessly with respect to reputational injury to innocent people but also acting in a manner that cast aspersions  on the reputation and credibility of Global Witness. </p>
<p>Bonus payments were authorized by NOCAL’s Board of Directors to all NOCAL Staff and others who performed exceptionally in conducting the negotiations on the Exxon Contract.</p>
<p>These bonus payments were made long after the Exxon deal concluded. I understand that even drivers received bonuses. Do you mean to tell me that Exxon was so desperate that it even bribed drivers? </p>
<p>I did not receive money or an offer to pay money from Exxon-Mobil for the award of the oil contract related to Block 13, neither am I aware of anyone who may have requested or received a bribe from the aforesaid company, directly or indirectly.</p>
<p>The suggestion that there was a “quid pro quo” link between entering into the contract and payments by using the term Bribe”, is malicious and appears to be deliberate and purposeful. </p>
<p>I served the Government of Liberia in the capacity of Attorney General/Minister of Justice for five years and did not at any time solicit concessionaires or any individual or entity seeking a contract with the Government to pay me anything.</p>
<p>I advise you consult with your counsel on the legal ramifications of malice in publishing defamatory statements. I will not sit by and allow you to defame my good name. </p>
<p><strong>Rob Sirleaf: ‘No Bribe Was Necessary’</strong><strong> </strong></p>
<p>In his response dated March 12, 2018, Mr. Sirleaf in a communication to Mr. Jonathan Gant, Senior Campaigner for Liberia, said the accusations that bribes were paid is absurd and baseless. </p>
<hr />
<blockquote>
<p><strong>Said Mr. Sirleaf: </strong></p>
<p>I understand that you have been emailing people associated with NOCAL in 2013 asserting that “bribes” were paid by NOCAL to secure the signature of the Exxon-Mobil Block 13 contract. This is absurd and baseless. </p>
<p>During my tenure as a member of the NOCAL team, I took great responsibility and pride in the development of Liberia’s potential oil resource for the benefit of our shareholders, the Liberian people.</p>
<p>The Block 13 contract was the most successful, publicly documented, and transparent transaction in Liberia’s oil industry history. </p>
<p>It resulted in the payment by Exxon-Mobil of a US$50,000,000 signature bonus, with US$45,000,000 going to the Consolidated Fund of the Ministry of Finance which is well documented, and only US$5,000,000 retained by NOCAL.</p>
<p>In addition, it brought one of the world’s most experienced oil companies to Liberia. </p>
<p>After the contract was signed and the funds transferred, NOCAL paid a bonus to ALL officers, board members and employees of NOCAL (approx. 140+) including drivers, janitors, secretaries and clerks.  I’m very sure one wouldn’t draw any conclusions that a bonus paid to the ENTIRE company, including all junior staff, was a “bribe.” </p>
<p>So, your suggestive is preposterous. </p>
<p>In fact, the signature bonus Liberia received for the Block 13 contract was about fifteen times more than the largest signature bonus Liberia had previously negotiated for any oil contract. </p>
<p>No “bribe” was necessary to encourage signature of that contract, and any suggestion that I or anyone else received a “bribe” from NOCAL is totally false. </p>
<hr />
<p><strong>Konneh: ‘I Did Not Solicit’ Bonus, Bribe</strong> </p>
<p>Former Finance and Development Planning Minister Amara M. Konneh when contacted Thursday, issued the following statement to FrontPageAfrica: </p>
<p>Mr. Konneh wrote:<span style="font-size: 12.16px;"> </span></p>
<p>On March 29, 2018, Global Witness released a report titled, &#8220;Global Witness Exxon Mobil Liberia March 2018&#8221;, in which my name is mentioned as having received a bonus of US$35,000 along with other former officials of the Government of Liberia after the successful conclusion of the Production Sharing Contract for Block 13 between the Government of Liberia through the National Oil Company of Liberia (NOCAL) and Exxon Mobil in 2013. </p>
<p>Here are the facts, as Minister of Finance and Development Planning, which made me a member of the Board of NOCAL, I was effectively involved in the negotiation efforts to bring in ExxonMobil, America&#8217;s largest oil company, into Liberia&#8217;s promising oil basin as a means of boosting its outlook and ultimately attracting other supermajors to participate in the development of the country&#8217;s hydrocarbon resources.</p>
<p>After many months of intense negotiations, we concluded a landmark deal that would see Liberia receive a non-refundable signature bonus of $50 million United States Dollar, a first for a non-oil producing country.  </p>
<p>Following this major milestone, the Board of Directors of NOCAL decided it would be fitting to organize a bonus package for all of those who worked hard and long to pull off this deal, which included, as supported by Global Witness in their report, the relevant line ministries and agencies of the government and the entire staff of National Oil Company of Liberia. I call on NOCAL to release to the public the full list of everyone who received bonus payment from the Exxon negotiation. </p>
<p>Additionally, Global Witness is fully aware that everyone knew the circumstances surrounding Block 13 before the Canadian Overseas Petroleum Limited (COPL) acquired it and then subsequently sold it to Exxon Mobil.</p>
<p>The records are there, and the transactions were concluded in the public and reviewed by top US lawyers to ensure that the transaction did not violate the US Foreign Corrupt Practices Act. </p>
<p>Let me state here categorically that while I accepted the bonus through an official NOCAL check as did all others, I, Amara M. Konneh, as Minister of Finance and Development Planning at the time, did not solicit or request a bonus or any other payment for the work that I did for the benefit of my country&#8217;s oil burgeoning hydrocarbon program. </p>
<p>Furthermore, I served as Minister of Finance from February 2012 to April 2016 and during and after my term of service, I did not at any time solicit or receive money or favor from corporations or individuals seeking relationship with the Government of Liberia. </p>
<p>Global Witness further stated in the report that I was contacted to respond to their query but refused to do so. I would like to state categorically that at no point in time have I ever received a call or communication in any other manner from GW to respond to issues raised in their report relating to me. I am, as always, willing to respond to queries relating to issues arising during my time of service with the Government of Liberia. </p>
<p>Let me conclude that we remain proud of the work we did for our country by ensuring that it benefited from US$50 million as a result of that transaction. That is by far the largest amount that Liberia ever received for any of its offshore blocks.</p>
<p>For Global Witness to suggest that a US$35,000 bonus paid to each member of the negotiating team for ensuring that Liberia got US$50 million from the transaction is a bribe on a US$120 million deal is an insult to the reputation and integrity of the Liberian officials.</p>
<p>In fact, global best practice would suggest that when employees achieve great results, bonus is a way of appreciating and incentivizing them.</p>
<p>When has this become a crime to pay and receive a bonus? </p>
<hr />
<p><strong>‘No Comment’ &#8211; Sendolo Mum</strong> </p>
<p>Former Lands, Mines and Energy Minister Sendolo declined to give a detailed comment when contacted, declaring: “I do not see anything that warrants comment on my part.” </p>
<hr />
</blockquote>
<p>Block 13 was originally awarded by NOCAL in 2005 to Liberian-Anglo Company Broadway Consolidated/Peppercoast (BCP). </p>
<p>In 2007, the block was ratified by the Liberian legislature through bribery.</p>
<p>According to Global Witness, its evidence shows that the company was likely part-owned by former Mining Minister Jonathan Mason and former Deputy Minister Mulbah Willie.<span style="font-size: 12.16px;"> </span></p>
<p>Mason and Willie are suspected of granting the oil block to a company in which they held interests while they were also ministers in 2005, which was illegal under Liberian law.<span style="font-size: 12.16px;"> </span></p>
<p>The findings note that Exxon knew that Block 13 was originally awarded through bribery and that its purchase of the oil block could enrich former officials who might have been behind BCP.<span style="font-size: 12.16px;"> </span></p>
<p>“In a PowerPoint presentation obtained by Global Witness, Exxon wrote that it was interested in purchasing the oil block despite its “concern over issues regarding US anti-corruption laws.<span style="font-size: 12.16px;"> </span></p>
<p>Undeterred by the corruption red flags, Exxon went ahead with the deal anyway.</p>
<p>Global Witness’ evidence shows that it structured the transaction in a way to skirt US anti-corruption laws by using a Canadian company – Canadian Overseas Petroleum Limited (COPL) – as a go-between to buy the block. </p>
<p>“It’s appalling that an oil giant like Exxon would buy up an oil block they knew was tainted by corruption,” said Jonathan Gant, Senior Campaigner at Global Witness.</p>
<p>“This kind of morally dubious corporate behavior is particularly shocking in a country like Liberia where endemic corruption continues to rob people of opportunities.” </p>
<p>The GW report said if Mason did own BCP shares when Exxon bought Block 13, he would have received a share of the US$68.5 million Exxon paid BCP.</p>
<p>Mr. Willie died in 2012, so any money he was owned would likely have gone to his estate. </p>
<p>The report also noted that there is evidence that Adolph Lawrence, who became a Representative in 2012, held a BCP ownership interest in 2011.</p>
<p>“If Lawrence continued to hold this interest when Exxon bought 2013, he also would have broken the law and may have received part of the money Exxon paid BCP.”</p>
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		<title>Exxon Purchase of Liberia’s Corruption-tainted Block-13 Likely Enriched Former Officials</title>
		<link>https://frontpageafricaonline.com/exxon-purchase-of-liberia-s-corruption-tainted-block-13-likely-enriched-former-liberian-officials/</link>
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		<dc:creator><![CDATA[Rodney Sieh]]></dc:creator>
		<pubDate>Thu, 29 Mar 2018 12:17:11 +0000</pubDate>
				<category><![CDATA[Uncategorized]]></category>
		<category><![CDATA[Exxon]]></category>
		<category><![CDATA[GW]]></category>
		<guid isPermaLink="false">http://new.fpa.news/news/2016news/exxon-purchase-of-liberia-s-corruption-tainted-block-13-likely-enriched-former-liberian-officials/</guid>

					<description><![CDATA[Washington, DC – A new Global Witness investigation released today shows Exxon’s 2013 purchase of Liberia’s Block 13 oil license likely enriched former government officials who may have&#8230;]]></description>
										<content:encoded><![CDATA[<img loading="lazy" decoding="async" class=" size-full wp-image-13231" src="http://new.frontpageafricaonline.com/wp-content/uploads/2018/03/exxonlib.PNG" alt="" class="caption" title="Undeterred by the corruption red flags, Exxon went ahead with the deal anyway. Global Witness’ evidence shows that it structured the transaction in a way to skirt US anti-corruption laws by using a Canadian company – Canadian Overseas Petroleum Limited (COPL) – as a go-between to buy the block." width="1144" height="620" />
<p><strong>Washington, DC</strong> – A new Global Witness investigation released today shows Exxon’s 2013 purchase of Liberia’s Block 13 oil license likely enriched former government officials who may have illegally owned the block.</p>
<p>  <span id="more-7386"></span>  </p>
<p>The Liberian Government should investigate Exxon’s US$120 million oil deal and ensure the independence of the Liberia Extractive Industries Transparency Initiative.</p>
<p>The state oil agency NOCAL also made unusual, large payments to senior government officials who authorized the 2013 deal. </p>
<p>Global Witness calls on the Liberian Government to investigate those involved in Exxon’s 2013 oil deal for corruption or wrongdoing.</p>
<p>Block 13 was originally awarded by NOCAL in 2005 to Liberian-Anglo company Broadway Consolidated/Peppercoast (BCP). In 2007, the block was ratified by the Liberian legislature through bribery.</p>
<p>But Global Witness’ evidence shows that the company was likely part-owned by former Mining Minister Jonathan Mason and former Deputy Minister Mulbah Willie.</p>
<p>Mason and Willie are suspected of granting the oil block to a company in which they held interests while they were also ministers in 2005, which was illegal under Liberian law.</p>
<p>Exxon knew that Block 13 was originally awarded through bribery and that its purchase of the oil block could enrich former officials who might have been behind BCP.</p>
<p>In a PowerPoint presentation obtained by Global Witness, Exxon wrote that it was interested in purchasing the oil block despite its “concern over issues regarding US anti-corruption laws.”</p>
<p>Undeterred by the corruption red flags, Exxon went ahead with the deal anyway. Global Witness’ evidence shows that it structured the transaction in a way to skirt US anti-corruption laws by using a Canadian company – Canadian Overseas Petroleum Limited (COPL) – as a go-between to buy the block.</p>
<p>“It’s appalling that an oil giant like Exxon would buy up an oil block they knew was tainted by corruption,” said Jonathan Gant, Senior Campaigner at Global Witness.</p>
<p>“This kind of morally dubious corporate behavior is particularly shocking in a country like Liberia where endemic corruption continues to rob people of opportunities.”</p>
<p>If Mason did own BCP shares when Exxon bought Block 13, he would have received a share of the US$68.5 million Exxon paid BCP. Willie died in 2012, so any money he was owned would likely have gone to his estate.</p>
<p>There is also evidence that Adolph Lawrence, who became a Representative in 2012, held a BCP ownership interest in 2011.</p>
<p>If Lawrence continued to hold this interest when Exxon bought 2013, he also would have broken the law and may have received part of the money Exxon paid BCP.</p>
<p>Exxon has not responded to Global Witness’ request for comment. COPL has, saying its due diligence showed that there were no legal problems with the deal, that Mason did not hold shares in BCP, shareholders certified they held no interest for others, and that it received legal advice on its anti-corruption and anti-money laundering obligations.</p>
<p>The company stated that Lawrence resigned from a job he held with BCP in 2011 and that any money he received was reported to the Liberian Government.</p>
<p>“Liberia’s attempts to stop corruption have failed – most notably the Sable Mining bribery debacle,” said Gant.</p>
<p>“It is time for President George Weah to show that he is a reformer and task the Ministry of Justice and Anti-Corruption Commission to investigate immediately.”</p>
<p>Unusual and large payments to Liberian officials in 2013</p>
<p>Global Witness has also seen evidence that shortly following the authorization of the 2013 Exxon deal senior Liberian officials were paid “bonuses” of US$35,000 by NOCAL – more than doubling their annual salaries.</p>
<p><strong>These officials, and the positions they held at the time, were: </strong></p>
<ul>
<li>NOCAL CEO Randolph McClain</li>
<li>National Investment Chairman Natty Davis</li>
<li>Finance Minister Amara Konneh</li>
<li>Mining Minister Patrick Sendolo</li>
<li>NOCAL Board Chair Robert Sirleaf, who is the son of then-President Ellen Johnson Sirleaf</li>
<li>Justice Minister Christiana Tah</li>
</ul>
<p>Robert Sirleaf was reportedly working pro-bono at the time. However, he too received a payment of US$35,000.</p>
<p>The evidence shows that these payments were associated with the Exxon deal.</p>
<p>The payments were probably made from the same bank account into which Exxon had recently deposited part of its bonus to NOCAL, although there is no evidence that Exxon knew about them.</p>
<p>All officials have denied that these payments were bribes, stating that they were authorized by NOCAL’s Board of Directors as bonuses for negotiating a good deal with Exxon.</p>
<p>Global Witness’ Exxon investigation was made possible by information published by the Liberian Extractive Industries Transparency Initiative (LEITI), an independent agency that publishes annual reports of payments made by companies to the government.</p>
<p>Without this information, Global Witness would not have started researching Exxon’s 2013 deal.</p>
<p>“Our investigation shows not only that Liberia’s oil sector was corrupt, but also how important LEITI is for the country,” said Gant.</p>
<p>“The latest news that President Weah has illegally fired LEITI Secretariat Head Konah Karmo is alarming and may show a weakening of political will to tackle corruption.”</p>
<p>Global Witness calls on the Liberian Government to immediately reinstate Karmo as Head of the LEITI Secretariat and ensure LEITI’s independence is preserved. Liberian authorities should also investigate Exxon’s 2013 deal to see if Exxon or any Liberians broke the law.</p>
<p>When Block 13 was sold in 2013, Exxon obtained 83 percent of the block.</p>
<p>Canadian Overseas Petroleum obtained 17 percent of the block.</p>
<p>The transfer of Block 13 was structured in a way that 100 percent of the block was first transferred from BCP to COPL, and then COPL transferred Exxon its share.</p>
<p>Exxon stated in a PowerPoint presentation obtained by Global Witness that it wanted to structure the transaction this way “due to” its US anti-corruption concerns.</p>
<p>2) Of the US$120 million Exxon paid for Block 13, US$68.5 million went to BCP. Global Witness estimates that Mason and the estate of Willie likely received a share of US$3.3 million. If Lawrence still held a BCP interest when Exxon purchased Block 13, Global Witness estimates he would have received US$15,000.</p>
<p>3) Exxon, BCP, Mason, Lawrence, Konneh, and Sendolo did not respond to Global Witness’ inquiries regarding the Block 13 deal. COPL’s response stated that the company was &#8220;aware of the allegations concerning Peppercoast&#8217;s minority shareholders.&#8221;</p>
<p>However, the company’s due diligence “found credible evidence that the allegations of impropriety were entirely false,” including that former Liberian officials held Peppercoast shares, and took steps to ensure only the company’s named shareholders received payments.</p>
<p>Additionally, COPL stated that the Block 13 deal was structured as a two-step process because the Liberian Government wanted to sign a new oil license with Exxon and COPL rather than amending the license originally awarded to Peppercoast.</p>
<p>Three of the officials who received payments from NOCAL in 2013 also responded to Global Witness: National Investment Commission Chairman Natty Davis, Justice Minister Christiana Tah, and NOCAL Board Chair Robert Sirleaf.</p>
<p>All three stated that the payments they received were bonuses authorized by NOCAL’s Board of Directors for the work they had put into negotiating the Exxon deal. Tah and Sirleaf also stated that all other oil agency staff had received bonuses.</p>
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		<title>NOCAL Collapses One Year On &#8211; Liberia&#8217;s Oil Basin Goes Quiet</title>
		<link>https://frontpageafricaonline.com/nocal-collapses-one-year-on-liberia-s-oil-basin-goes-quiet/</link>
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		<dc:creator><![CDATA[FPA Staff Reporter]]></dc:creator>
		<pubDate>Wed, 14 Sep 2016 20:50:51 +0000</pubDate>
				<category><![CDATA[Business]]></category>
		<category><![CDATA[Exxon]]></category>
		<category><![CDATA[NOCAL]]></category>
		<guid isPermaLink="false">http://new.fpa.news/business/nocal-collapses-one-year-on-liberia-s-oil-basin-goes-quiet/</guid>

					<description><![CDATA[Monrovia &#8211; In this first part of three-part series on we look at what is currently happening in the Liberian oil basin one year on from the collapse&#8230;]]></description>
										<content:encoded><![CDATA[<p><img loading="lazy" decoding="async" class=" size-full wp-image-9208" src="http://new.frontpageafricaonline.com/wp-content/uploads/2016/09/oilboom2.jpg" alt="" width="750" height="418" /></p>
<p><strong>Monrovia</strong> &#8211; In this first part of three-part series on we look at what is currently happening in the Liberian oil basin one year on from the collapse of the National Oil Company of Liberia.</p>
<p>  <span id="more-2000"></span>  </p>
<p>What is the status of the different oil contracts between Liberia and oil companies and what does the future hold for the country’s oil industry?</p>
<p>Liberia&#8217;s oil industry is at a crossroads: If no new production sharing contracts (PSCs) are signed and existing ones are not extended, there will be no oil company operating in the Liberian offshore oil basin by the end of the first half of 2018. That was the dire message conveyed by NOCAL officials during a recent series of outreach program in communities along the basin.</p>
<p>Status of the Liberian oil basin – courtesy of NOCAL</p>
<p> ExxonMobil with Canadian Oversea Petroleum Limited (COPL) and two other companies—African Petroleum and Chevron (Oranto)—make a total of just three companies operating in the basin operating four of the 30 existing oil blocks.</p>
<p>ExxonMobil (83%) with COPL (17%) has an eight-year production sharing contract (PSC) with Liberia for block 13, which expires April 5, 2018. Chevron (70%) alongside Oranto (30) has three separate blocks 11, 12 and 14. As well as their half-year extension periods, both blocks 11 and 12 have expired. Chevron with Oranto is now left with a solitary block 14 whose nine-year PSC with the government runs up to July 29, 2018.</p>
<p>Anadarko (47.5%), Repsol (27.5%) and Tullow (25%) have relinquished block 15. The PSC on that block expired on June 23 this year. Repsol (75%) and Tullow (25) had relinquished blocks 16 and 17 respectively as early as 2012 and 2013, the latter at the end of a 10-year PSC with Liberia. Anadarko (80%) again with Repsol (10%) and Mitsubishi (10%) relinquished block 10 for which it had a seven-year PSC that expired in 2015.</p>
<p>The current inactivity of the Liberian offshore oil basin is not unique to Liberia. Frontier oil countries like Liberia are suffering as the result of the ensuing global oil crisis. Experts say the price of oil is likely to remain low due to oversupply of countries such as Saudi Arabia and Iran and the increase of oil obtained from previously untappable sources in the U.S. with a new technology known as fracking.</p>
<p>The current prices are around US$50 per barrel, just over a third of the price of oil in 2008. Oil companies cannot afford to spend millions of dollars drilling in offshore wells with these prices. The number of rigs worldwide has dropped by 30 to 43 percent, according to a rig count compiled in March by Simons &amp; Co. International, an energy investment group based in United States. Rig count has also plummeted by 43 percent in Africa and Latin America, it said.</p>
<p>NOCAL on the other hand has yet to recover from bankruptcy. Without new income from PSCs and without the sale of seismic data that has plummeted since the global oil crisis began it has no sources of income. A year ago after the company revealed it was in financial turmoil, President Ellen Johnson Sirleaf announced reforms saying it had been grossly mismanaged and oversized. Senior executives, the board of directors and more than two thirds of its workforce were laid off. An interim leadership, led by Cllr. Althea Sherman, has since been tasked with reviving NOCAL.</p>
<p>The history of the formation of the basin itself goes as far back as 600,000 years ago. According to geologists Africa and South America were once a large continent but drifted apart thousands of years ago, leaving the two continents with similar features, including fossils, the repository of hydrocarbon from which you get crude oil.</p>
<p>A reef that runs along the West Coast of Africa shares geological features with Brazil, which is a major oil-producing country. And this seems the case with discovery of oil in Ghana and off the shores of two of Liberia’s neighbors—Sierra Leone and Ivory Coast.</p>
<p>Drilling in the Liberian offshore oil basin began in the 1940s in shelf wells, which showed traces of hydrocarbon but insufficient for commercial value. Exploration activities intensified after NOCAL’s formation in 2000, with an acquisition of 2D survey before licensing rounds began in 2003.</p>
<p>By the interim government period in 2003, Liberia had already begun signing PSCs with international oil companies that would later be revised and ratified by the government of President Sirleaf which came into office in January 2006.</p>
<p>Some Liberian experts are convinced oil will eventually be found in commercial quantities in Liberia. They say it&#8217;s just a matter of time.</p>
<p>“When it comes to offshore activities, there are prospects for discovery offshore in Liberia,” said Urias Taylor, a petroleum engineer who was employed with NOCAL from 2011 to 2015. “Some of the wells drilled in the shelf area and down the deep water have shown the presence of a working hydrocarbon system but is the matter of having a big field and limited players.”</p>
<p>Taylor said that the nature of the Liberian oil basin demands extensive drilling activities in order to discovery an offshore reserve, something he said must inform future PSCs. Liberia&#8217;s geology is different from Brazil&#8217;s in ways that will make finding the oil more challenging.</p>
<p>Taylor explained that the small size of the rivers emptying in the Atlantic Ocean from Liberia stops the drainage of the fossil sediment. Oil is formed from hydrocarbon which comes from fossils—the remains of plants and animals—and are trapped in sedimentary rocks for many, many years beneath the ocean.</p>
<p>The giant Amazon River (the world&#8217;s largest river by volume) makes it easier and faster for fossil sediments to deposit, giving Brazil real potential for oil discovery. The Amazon River is 4,345 miles long. Cavalla, the largest of Liberia’s six major rivers, is just 320 miles long.</p>
<p>More drilling is the key, said Taylor. He points out that the large and productive Jubilee Oil Field in Ghana was discovered after more than 50 wells were drilled. So far in Liberia just 10 have been drilled.</p>
<p>The last serious attempt to bring a new player into the basin came in 2014 when American company Kosmos moved to negotiate a contract for blocks 6 and 7, two of four blocks for which NOCAL held a bid round. The two blocks were previously part of a 2007/08 bid round but were never contracted.</p>
<p>However, Kosmos did not seal the deal. It was derailed by controversies over the bidding process involving fellow American company Liberty Petroleum and Nigerian company A-Z. These problems were then compounded by the 2014 Ebola epidemic which plunged Liberia and the whole region into crisis raising public mistrust in government and making investors nervous.</p>
<p>The Kosmos deal was the industry’s last hope of bringing in a major player.</p>
<p>In a statement at the time NOCAL boasted that the $US3bn company, listed on the NYSE, had “a strong balance sheet with $1.9 billion, in liquidity,&#8221; and a history of strict adherence to health, safety and environmental standards.</p>
<p> It was already operating in Ghana. “We want our people to know that Kosmos is ready to invest in pre exploration and exploration activities regardless of the weak oil prices and the reduction of recent industry-wide exploration projects for offshore West Africa,” NOCAL said via its website on the deal. </p>
<p>Liberia’s basin potential remains but experts say the country will have to reform the sector by passing into law the New Petroleum Law of Liberia. (The failure of the bill to pass was a factor in the failure of the Kosmos deal.)</p>
<p>The bill, first drafted in 2013, has XX in the legislature ever since. WHY WON”T LEGISLATORS PASS IT?  The future of many blocks depends on the bill.  A moratorium was imposed in 2012 on blocks 1, 2, 3, 4, 5 and all 13 ultra-deep blocks from block 18 to block 30.</p>
<p>NOCAL considers Block 1 to block 5 as “hotspots” as they have never been drilled, given a PSC for nor placed in a bidding round, as in the case of blocks 6 and 7 sought by Kosmos.  NOCAL’s concedes there have been failures.</p>
<p>“One key lesson is to acknowledge the importance of providing an investor-friendly business environment as we have limited control over the decisions made by potential investors,” NOCAL interim president and chief executive officer Cllr. Sherman admittedly said of the failed Kosmos deal. </p>
<p>Corruption and mismanagement have long plagued the sector. In a 2011 report on Liberia’s oil sector, Global Witness accused NOCAL of corruption and mismanagement in the report “Cure or Curse: How Liberia can boost or break Liberia’s post-war recovery”.</p>
<p>The report said that the Liberian PSC model may not have been the best for Liberia, and that different production percentage shares at different levels make tax structure complicated, and accounting regime unnecessarily difficult. They also cited lax terms and condition in the PSCs.</p>
<p>For instance, in the PSC for block 15 with Anadarko, Repsol and Tullow, 30 percent profit oil for government up to 30,000 bpd that can move 55 percent when production exceeds 300,000.</p>
<p>However, in the initial PSC with Peppercoast for Block 13 (now held by ExxonMobil), there was a clause of a 45 percent state equity shares up to the levels of 500,000 bpd and a 60 percent share of production over 100,000 bpd. NOCAL argued on its website then that it had negotiated those contracts based on Liberia’s weak negotiation position.</p>
<p>Some of these flaws are being treated in the draft Petroleum (Exploration and Production) Act of 2013. For instance, the new law, a revised version of the Petroleum Law of 2002, which secures five percent citizens’ participation, 10 percent state equity share and calculates royalties as per total value of production of petroleum from the oil block, excluding used, re-injected or oil lost in production.</p>
<p>Structurally, the new law provides for a petroleum directorate, headed by a director general, spearheaded by a minister, that will regulate and oil sector as well as monitor it. NOCAL will only manage the state’s commercial interest and stake.</p>
<p>ExxonMobil’s PSC might give Liberia a better deal—US$50 million signature bonus, 10 percent state equity and royalty of between five percent and 10 percent—compared to previous contracts in terms of signature bonus; however, the deal still violated the existent law, even in its weak status. American watchdog Revenue Watch Institute highlighted the danger in poor countries breaching their own laws.</p>
<p>ExxonMobil is the most active of the three operators left in the Liberian oil basin (Chevron and African Petroleum the other two). Following discussions with President Sirleaf in November, ExxonMobil’s Country Manager for Liberia and Ivory Coast Steve Buck announced that the company would begin drilling the Montserrado-1 of block 13. ExxonMobil placed its operations on hold due to Ebola.</p>
<p>“I am very excited to see Exxon Mobil here,&#8221; she said in November 2015 after a meeting with Buck. She said Liberia was “on the move&#8221; to recovery from the disease. </p>
<p>Apart from the scheduled ExxonMobil drilling of block 13, the future for oil and gas in Liberia may still be bright.  African Petroleum, which announced in 2012 that it had discovery oil in its Narina-1 well in block 9, has not relinquished any of its two blocks (the other being block 8).</p>
<p>Narina-1, the first oil well to be drilled since AMOCO Corporation drilled a well in the basin 1989, who knows whether African Petroleum’s discovery will not lead to commercial quantity after in the nearby future when the well had the same geological features that proved productive in Ghana and Sierra Leone?</p>
<p><strong>By James Harding Giahyue/This story was produced in collaboration with the Thomson Reuters Foundation/New Narratives Liberia Oil Reporting Project, which is part of the Foundation’s pan-African programme<a href="wealth-of-nations.org" target="_blank" rel="alternate"> Wealth of Nations</a> | <a href="http://www.newnarratives.org" target="_blank" rel="alternate nofollow noopener">More &gt;&gt;</a> </strong></p>
<p> </p>
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		<title>Canadian Overseas Petroleum Looks Forward to Exxon Well Offshore Liberia</title>
		<link>https://frontpageafricaonline.com/canadian-overseas-petroleum-looks-forward-to-exxon-well-offshore-liberia/</link>
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		<dc:creator><![CDATA[FPA Staff Reporter]]></dc:creator>
		<pubDate>Sun, 14 Aug 2016 20:16:30 +0000</pubDate>
				<category><![CDATA[Business]]></category>
		<category><![CDATA[COPL]]></category>
		<category><![CDATA[Exxon]]></category>
		<guid isPermaLink="false">http://new.fpa.news/business/canadian-overseas-petroleum-looks-forward-to-exxon-well-offshore-liberia/</guid>

					<description><![CDATA[With high profile drilling on the horizon and the possibility of new opportunities COPL remains one to watch for investors. Canadian Overseas Petroleum Limited (LON: COPL, CVE: XOP)&#8230;]]></description>
										<content:encoded><![CDATA[<p><img loading="lazy" decoding="async" class=" size-full wp-image-8980" src="http://new.frontpageafricaonline.com/wp-content/uploads/2016/08/copl.jpg" alt="" width="750" height="418" /></p>
<p>With high profile drilling on the horizon and the possibility of new opportunities COPL remains one to watch for investors.</p>
<p>  <span id="more-1703"></span>  </p>
<p><a href="http://www.proactiveinvestors.co.uk/LON:COPL/Canadian-Overseas-Petroleum-Limited/" rel="nofollow noopener" target="_blank">Canadian Overseas Petroleum Limited</a> (<a href="http://www.proactiveinvestors.co.uk/LON:COPL/Canadian-Overseas-Petroleum-Limited/" rel="nofollow noopener" target="_blank">LON: COPL</a>, CVE: XOP) has highlighted that the upcoming ExxonMobil operated exploration well in Liberia is the group’s short-term focus.</p>
<p>In an investor update for the second quarter COPL added that it also continues to identify, evaluate and pursue exploration and development opportunities in Nigeria, Equatorial Guinea and other West African countries.</p>
<p>It added that it is looking at offshore opportunities in areas where its seasoned technical team has strength.</p>
<p>Arthur Millholland, chief executive, said: “The Company’s strategy is to grow our international oil and gas business offshore sub-Saharan Africa and elsewhere in the world by farming into, and/or acquiring interests in, exploration, unappraised and/or undeveloped assets as well as in producing assets using the expertise and experience of our senior management team.</p>
<p>“COPL&#8217;s short-term operations will focus on working with ExxonMobil to progress the activities on the future drill locations in Liberia and working towards successfully concluding a variety of new opportunities available to the Company in sub-Saharan Africa.&#8221;</p>
<h3><span style="color: #000000;">Drilling with Exxon in Liberia</span></h3>
<p>COPL is teamed up with partner Exxon to drill the Mesurado-1 prospect offshore Liberia, with a 17% carried stake in the well.</p>
<p>Interest in the well is high. Not only is it historic, as the first well offshore Liberia, but it is also the one of the latest to test a transatlantic exploration play.</p>
<p>It is what it known as a conjugate play. Offshore Liberia, in the Atlantic margin, the well will explore the same type of reservoir targets that have already been discovered on the other side of the ocean.</p>
<p>The ancient geology that is now thousands of miles and an ocean apart were at one point in time connected. As those following the sector will know such plays have a key theme in recent years – notably it is the basis of discoveries offshore Ghana, Canada, and Guyana to name a few.</p>
<p>Here, offshore Liberia, the analogous discovery is Liza – a discovery offshore Guyana which is so far estimated to host 1.4bn barrels.</p>
<p>Mesurado has been described by experts as Liza’s “twin sister”.</p>
<p>COPL share of well costs are covered by Exxon, up to a maximum of US$120m.<strong> <br /></strong></p>
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		<title>‘I Have Never Requested to be Appointed’: Robert Sirleaf Breaks Silence</title>
		<link>https://frontpageafricaonline.com/i-have-never-requested-to-be-appointed-robert-sirleaf-breaks-silence/</link>
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		<dc:creator><![CDATA[Rodney Sieh]]></dc:creator>
		<pubDate>Wed, 06 Jul 2016 00:46:20 +0000</pubDate>
				<category><![CDATA[Politics]]></category>
		<category><![CDATA[Chevron]]></category>
		<category><![CDATA[Exxon]]></category>
		<category><![CDATA[NOCAL]]></category>
		<category><![CDATA[Robert Sirleaf]]></category>
		<guid isPermaLink="false">http://new.fpa.news/politics/i-have-never-requested-to-be-appointed-robert-sirleaf-breaks-silence/</guid>

					<description><![CDATA[Monrovia – Mr. Robert A. Sirleaf, the son of President Ellen Johnson-Sirleaf has kept a low profile since his defeat in the 2014 Senatorial elections in which he&#8230;]]></description>
										<content:encoded><![CDATA[<p><img loading="lazy" decoding="async" class=" size-full wp-image-8697" src="http://new.frontpageafricaonline.com/wp-content/uploads/2016/07/robsirleaf-brussels-affairs.jpg" alt="" width="750" height="418" /></p>
<p><strong>Monrovia</strong> – Mr. Robert A. Sirleaf, the son of President Ellen Johnson-Sirleaf has kept a low profile since his defeat in the 2014 Senatorial elections in which he lost to football legend George Weah.</p>
<p>  <span id="more-1319"></span> </p>
<hr />
<p><span style="font-size: 12pt; color: #808080;"><em>Report by: Rodney D. Sieh, <a style="color: #808080;" href="mailto:rodney.sieh@frontpageafricaonline.com">rodney.sieh@frontpageafricaonline.com</a></em></span></p>
<hr />
<blockquote>
<p><strong>“NOCAL is a public entity. Its financial reports are open to the public. A responsible newspaper/journalist would make an effort to acquire and analyse the records to determine the actual financial standing of NOCAL over the periods in question. &#8220;</strong></p>
</blockquote>
<p>Mr. Sirleaf, prior to those elections, stepped down in September 2013, as the Chairman of the Board of the National Oil Company of Liberia (NOCAL) and his role as an Advisor to the President.</p>
<p>Mr. Sirleaf’s departure from the Sirleaf administration came on the heels of mounting criticisms from some quarters that Sirleaf who had frowned on practice of nepotism in previous administrations had adopted the practice with key members of her families in her administration.</p>
<p>President Sirleaf has no numerous occasions defended appointment of her family in government, insisting that they have been based on merit. &#8220;</p>
<p>I have to put [people] in certain places where I get the best results based upon talent, based upon competence and based upon integrity, and that&#8217;s what I do. I stand the test and I challenge anyone who says there are other motives. I stand by my record and stand by the record of my family very firmly.&#8221;</p>
<p>In recent weeks however, several publications have resurrected a new report that the former NOCAL board chair is still working in the administration, recently drawing the House of Representatives into the matter.</p>
<p>The lower house in fact, recently launched an investigation into what it says is the appointment of President Sirleaf’s son, Robert as Counsellor for Commercial Affairs at the Embassy of Liberia in Brussels. </p>
<p>House Clerk Mildred Sayon told reporters recently that the investigation will also include the commercial and investment profits that have been accrued or are accruing between Liberia and Belgium.</p>
<p>The House’s Plenary mandated two of its leadership committees, Foreign Affairs and Judiciary, on Tuesday, June 28, during the 40th Day Sitting to undertake a thorough probe and advise the August Body about why the President’s son should not be held in contempt as to whether his appointment is/or isn’t supportive and convenient to the country’s economy.</p>
<p>The call was prompted by a letter from Rep. Dr. Bhofal Chambers, (Maryland Co. District #2), who urged his colleagues to invite Mr. Sirleaf and the Minister of Foreign Affairs to explain the commercial benefits that have been accrued to Liberia as Counselor for Commercial Affairs at the Liberian Embassy in Brussels.</p>
<p>Dr. Chambers is also Chairman on National Defense. He argued that Mr. Sirleaf was appointed as Counselor on Commercial Affairs on February 6, 2012, while he was serving as the Senior Advisor to President Sirleaf and the Chairman on the Board of Directors of the National Oil Company of Liberia (NOCAL).</p>
<p>The Daily Observer citing a copy of Mr. Sirleaf’s letter of appointment, reported this week that the letter was written by the then Acting Foreign Affairs Minister, Sylvester M. Grisgsby to Comfort Swengbe, Chargé d’Affaires of the Liberian Embassy in Brussels.</p>
<p>“Mr. Sirleaf’s appointment reflects Government’s desire to intensify and deepen commercial and investment relations between Liberia and Belgium in particular and the European Union in general. &#8220;</p>
<p>&#8220;Although the appointment was made nearly a year ago, it is now being effected especially after the inauguration as an indication of the thrust of the new Administration to engage the private sector of Belgium and the EU in Liberia’s reconstruction and economic development,” Minister Grigsby’s letter said.</p>
<p>FrontPageAfrica on Tuesday reached out to Mr. Sirleaf to address the controversy demanding answers as to whether or not he was in fact working as a counsellor on Commercial Affairs.</p>
<p>Responding via email, Mr. Sirleaf dismissed the report as lacking balance and short on facts.</p>
<p>Mr. Sirleaf said the reports have presented the false impression that he is being appointed in 2016.  Mr. Sirleaf says he has never requested or perform any duty in the capacity as Commercial Counsellor.</p>
<p>Said Mr. Sirleaf: “The June 29 publication of the Daily Observer is the first time I have seen or heard of the letter appointing me to a position in Brussels. I have never requested to be appointed to any position in Brussels.&#8221;</p>
<p>&#8220;I have never presented myself as a Counselor on Commercial Affairs affiliated with any Embassy of the Republic of Liberia, whether in Brussels or anywhere else in the world, either in person or by use of a business card or business stationery identifying me as a Counselor on Commercial Affairs for the Republic of Liberia.”</p>
<p>Mr. Sirleaf went on to say that he has travelled to Brussels proper, including transits, only once in the past 6 years, insisting that he has “neither received nor accrued any benefit as a result of the appointment contained in the 2012 letter.”</p>
<p>Mr. Sirleaf added: “I know of no investment made either in Liberia or on behalf of the Republic of Liberia which involves me acting as a Counselor for Commercial Affairs for the Republic of Liberia.”</p>
<p>The former NOCAL boss went on to say that if the position requires confirmation, he never in fact attended nor had he been called to attend any confirmation proceeding, declaring: “I will be more than happy to provide/confirm these statements to the House, and provide any additional information it may need concerning this matter.”</p>
<p><strong>Defending NOCAL Tenure</strong></p>
<p>Mr. Sirleaf also went to great lengths to defend his time at NOCAL and slammed critics who have suggested that he left the oil company bankrupt.</p>
<p>“Of course there is no factual basis for this conclusion. Indeed, in spite of the number of times this claim has been repeated, there is yet to be any respectable journalistic effort to thoroughly investigate and adequately inform the public about the facts and circumstances surrounding NOCAL including the period of my chairmanship.&#8221;</p>
<p>&#8220;Actually, during my stint as Chairman of the Board of NOCAL, the company remained in strong financial position, something any audit will confirm.”</p>
<p>Continued Mr. Sirleaf: “NOCAL is a public entity. Its financial reports are open to the public. A responsible newspaper/journalist would make an effort to acquire and analyse the records to determine the actual financial standing of NOCAL over the periods in question. &#8220;</p>
<p>&#8220;But if the real problem is the lack of capacity to interpret the financials, there are many including private firms who might be willing to do this as a public service. Not only will the Daily Observer find intelligibility, but also better accurately position to inform the public; which should be a civic responsibility from a news organization. “</p>
<p><strong>‘Proud of My Tenure’</strong></p>
<p>Mr. Sirleaf says he remains proud of the work he and his team perform at NOCAL. “Suffice to say, during my tenure, of which I am proud, I responded to all 5 legislative probes (2012-2015). At least 3 audits (2 local and 1 international) were completed.&#8221;</p>
<p>All of the records are available. To date, no one has pointed to a specific wrongdoing except the usual broad political strokes which are unsupported by evidence and the available records&#8221;.</p>
<p>&#8220;Again, working with many others, I am very proud of what we achieved at NOCAL. Liberia, a petroleum frontier country; we successfully negotiated and contracted oil exploration contracts with Chevron and Exxon Mobil, the biggest in the world not only in terms of exploration and production but also in respect of commitment to high standards of transparency and accountability. We presented the country a new draft petroleum law which, according to many experienced international opinions, is fair both to Liberia and to the investors.” </p>
<p><strong>‘Never Misappropriated Funds’</strong></p>
<p>Mr. Sirleaf added that neither Chevron nor Exxon has left the country. </p>
<p>“Exxon is due to drill in the 4th Quarter of 2016 or the 1st Quarter of 2017. Again, NOCAL can give you these facts, if the interest is to report and inform the public truthfully. &#8220;</p>
<p>&#8220;And so for the record, at no time during my chairmanship of the Board of Directors of NOCAL did I misappropriate, misapply, misdirect or direct NOCAL funds to personal use.”</p>
<p>Mr. Sirleaf added that he received no compensation from NOCAL for his service as a member of or as the Chairperson of its Board of Directors, other than reimbursement of out-of-pocket travel expenses. </p>
<p>“I always have been very open and cooperative with the GAC and the LACC on all of the above.  It might also interest the Observer to know that it was I who engaged the representative of Global Witness, Mr. Jonathan Gant, with an invite to come to Liberia as we responded and opened lines of communication with them. &#8220;</p>
<p>&#8220;NOCAL had never done that before my chairmanship. My intention was to improve transparency and accountability in the management of NOCAL at home, working with local integrity institutions, as well as abroad through organizations such as Global Witness.”</p>
<p>Mr. Sirleaf says he continues to be focused on meaningfully and positively changing lives in Liberia.</p>
<p>“I am especially proud of some of the unmatched differences we have made in the lives of many young people, in some cases affording them a new lease on life – a renewed sense of hope in the future. I am also proud of some of the impacts my office has made and is determined to make especially in economically challenged communities.”</p>
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