http://www.gasandoil.com/goc/news/nta53713.htm22-08-05 Somalia's fledgling government welcomes approaches by firms keen to hunt for oil or gas on its territory but has yet to open any such discussions, President Abdullahi Yusuf said.
Somalia's oil and gas potential attracted attention from Western major oil producers before the country collapsed in chaos in 1991, and diplomats say Asian firms have shown recent interest amid efforts to stabilise the Horn of Africa country. Somalia lies across the Gulf of Aden from the Arabian peninsula and next to Ethiopia's Ogaden region, which has proven reserves of natural gas.
Yusuf, trying to build an effective central government following his election by lawmakers at peace talks last year, told: "Any company that is interested in the natural resources of Somalia can come (to talk) to the government, no matter from which country."
"After all, we will look after our interest. Let them compete, and the best company will win," he said during a visit to Nairobi en route to Saudi Arabia to discuss possible aid for Somalia.
Somalia has no proven oil reserves and only 200 bn cf of proven natural gas reserves, according to the US Energy Information Administration. However, companies including Total, Amoco, Chevron and Conoco and Phillips, which have since merged into ConocoPhillips, held exploration concessions in northern Somalia in the 1980s.
The firms declared force majeure following the collapse of the central government in 1991. Force majeure is a clause in a contract exempting the parties from their obligations under the agreement as a result of conditions beyond their control.