Turkey starts fuel deliveries to east Libya

Author: 
REUTERS
Publication Date: 
Mon, 2011-07-25 23:52

Libya’s civil war has damaged oil infrastructure and severely hampered the rebel government’s ability to produce and sell oil, increasing its reliance on foreign aid to pay for imports of refined products.
Turkish Petroleum International Company (TPIC), a subsidiary of Turkey’s state-owned oil and gas exploration company Turkiye Petrolleri (TPAO), has shipped two fuel cargoes worth at least $10 million, an industry source familiar with the deal said.
The first tanker, the ‘Sentosa Island’, arrived in Benghazi recently, carrying about 5,000 tons of diesel, trade sources said. A second cargo, also carrying around 5,000 tons of diesel from Turkey was being delivered, the source said. 
Regular fuel supplies such as gasoline for cars and diesel used for power plants are seen as vital to the rebels to win the war and retain popular support in a country long-accustomed to subsidised energy.
A second industry source said the Turkish government was seeking to line up more suppliers and that he expected one or two more cargoes to be sent.
“The Turks are pushing for more supplies,” he said.
The supply deal is a sign of closer ties between Benghazi and Ankara, which recognized the rebel Transitional National Council earlier this month and pledged $200 million in aid.
It was not clear whether funding for these fuel deliveries was included in this sum, but the trade sources said that the fuel was being delivered for humanitarian reasons, with no payment expected.
A spokesman at the Turkish foreign ministry could not immediately be reached for comment.
“TPIC is considering sending some more fuel on top of these two cargoes. But after that, whether or not these shipments will continue will be up to the Turkish government,” the first source said.

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