Benghazi aspires to become Libya's business capital

* Eastern city wants to restore status as business centre

* Residents say marginalised for decades under Gaddafi

* Benghazi wants return of oil body to city

By Marie-Louise Gumuchian

BENGHAZI, Libya, Jan 23 (Reuters) - At a construction site on Benghazi's waterfront, engineer Seraj Bushada proudly points to a giant hole in the ground that will make way for a 48-floor office tower that city officials hope will help transform part of this port city into a modern business district.

Unlike the capital Tripoli, Benghazi, Libya's second-biggest city, has few modern high-rise developments.

Construction of the $300 million Three Towers project, which will include two smaller blocks housing luxury apartments and a hotel, was delayed due to the uprising against former dictator Muammar Gaddafi, which began here nearly two years ago.

The project is now due for completion in 2015 and is being promoted in Benghazi's bid to regain its former status as the country's business capital and end what residents see as decades of marginalisation under Gaddafi.

"We have to work together to realise this dream," Bushada said.

Turning that dream into reality will be a challenge. Security is a major concern for foreign investors in the city, highlighted by the attack on the U.S. diplomatic mission in September in which the U.S. ambassador and three other Americans were killed.

Only last week a car bomb killed a Benghazi police officer, the second such attack in as many days and the government is considering imposing a night time curfew on the city.

Many Benghazans, however, are calling for the country's new constitution - due to be drafted in coming months - to give the city powers to manage its own affairs and a share of the eastern region's resources.

While the revolution succeeded in overthrowing Gaddafi, they argue, it has failed to spread wealth more evenly in Libya. Benghazi is the main city in eastern Libya, which provides around 80 percent of the country's oil wealth, yet the city is still dependent on the government in Tripoli for funding.

Some residents and officials are calling for the constitution to officially restore Benghazi as Libya's business capital, a status it held under King Idris until his overthrow by Gaddafi in a coup in 1969. With an estimated population of nearly 1 million, it is roughly half the size of Tripoli.

"Everything was here before, Benghazi is the best place to be the economic capital," said businessman Kais el-Bakshishi of the "Benghazi Economic Capital" campaign, which counts about 700 members including local businessmen, activists and academics.

"The main reasons are its strategic location - a gateway to Africa and Egypt and historically the people of Benghazi are traders. A lot of businessmen in Tripoli are from Benghazi."

STRIKING A BALANCE

Perched on the Mediterranean sea, Benghazi was the first city to revolt against Gaddafi and later became the rebels' main base before Tripoli, some 1,000 kilometres (620 miles) away, fell in August 2011.

City officials' first priority is to push the central government to move state companies such as the National Oil Corporation (NOC) and Libyan Airlines, which were based here under King Idris but later moved to Tripoli, back.

"If we can get these back to Benghazi, we can make it the economic capital," said Abdelhamid Elhadad, head of the industrial and oil committee of the Benghazi local council.

"We are trying to restore Benghazi to what it once was," he said, sitting in the council's new offices - where posters claiming "Together we will build our city" hang next to signs banning weapons.

The NOC was formerly the Libyan General Petroleum Company, which was founded in Benghazi in 1968. After the NOC was established in 1970 it relocated to Tripoli.

"The objection is that it is like before - everything is controlled by Tripoli; this is not why the revolution took place," said Tahani Mohammed Ben Ali, head of the Benghazi workers' union at Libya's biggest oil firm Arabian Gulf Oil Company (Agoco).

"There are infrastructure, health, education needs here."

With the country still volatile, Libya's new rulers - led by Prime Minister Ali Zeidan's cabinet and the general national congress - know they have to strike a careful balance to appease regional rivalries.

That plays in Benghazi's favour and the oil ministry has proposed splitting the NOC into an exploration and production company based in Tripoli and a refining and petrochemicals company in Benghazi. Residents in eastern Libya as well as activists and oil workers vehemently oppose the plan, however, and say the whole company should relocate to Benghazi.

"If someone steals something from you, you want it back," Ben Ali said.

Other plans for enhancing Benghazi as a business hub include improving its infrastructure.

Its port is outdated while the airport, which has just one cramped hall, had been slated for an upgrade when the war began.

"The plan before was for 5 million passengers a year, now we want 15 million passengers a year," Bakshishi said.

South Korean company Nemo Partners is building a temporary passenger terminal at the airport. But progress on expanding the airport has been slow as the central government is reviewing previous foreign investment deals in the country before it approves new ones.

Benghazi officials are also considering building a free trade zone and have proposed public works projects to provide jobs, namely for the former rebel fighters who have yet to lay down their weapons.

"We want to look after the factories around Benghazi, we need to boost manufacturing," Elhadad said. "We have an industrial area of around 1,000 hectares, we want to have a real industry here, we want to build more hotels."

Elhadad wants Benghazi to be twinned with cities like Istanbul or Marseille to promote ties and plans to write to the mayor of New York, seeking to attract U.S. interest.

Industry in the area focuses on cement, and cable and steel pipe factories, as well as oil services, but badly needed foreign investment is only trickling in.

The International Monetary Fund forecast Libya's economy shrank 60 percent in 2011 due to the conflict but expected it to expand by 122 percent in 2012 and 17 percent this year.

TRADE PICKS UP

Benghazi still faces many of the same problems as the rest of Libya. Rubbish is piled up on its streets and beaches; jobs are in short supply; and weapons are everywhere as the government has failed to control rival armed factions since the end of the uprising.

However, it has seen more commercial activity in the past year and dozens of new clothing, food and consumer goods shops have sprung up.

"Things are getting better, lots of new businesses were established after the revolution," an Egyptian worker at a supermarket in the city, said. "And people are spending."

One local businessman said retail business in Benghazi had tripled since before the war, but did not cite a source for the figure: "The former fighters have money so they are spending."

At a conference this week, businessmen and campaigners laid out plans for Benghazi's economic revival, but many acknowledged security remained a priority.

Last week Italy - the former colonial power - suspended activity at its consulate in Benghazi and withdrew staff for security reasons after unidentified gunmen opened fire on its consul's armoured car.

The consul was unhurt but the incident recalled the attack on the U.S. mission, in which American intelligence officials say Islamist militants with ties to al Qaeda affiliates were most likely involved. Last week's hostage crisis in Algeria has added to security concerns in North Africa.

"How can you turn Benghazi into an economic capital when there isn't even any security?" Khaled Al-Nomi, a shop assistant, said. "Things are getting worse here, not better."

Many Western businessmen are adopting a wait and see approach towards Libya, keen to see whether the interim government can get a grip on security. Arab and Turkish businessmen are more prominent.

Local Benghazans stress that the violence is more against security officials than civilians, but the attack on the U.S. mission has been a setback.

"Some companies up until last year visited Benghazi," Tarek Alwan, managing director of London-based consulting firm SOC Libya, said.

"Some were actually progressing towards establishing local agents, but since the security is not fully stable in the city, I think many pulled out." (Additional reporting by Ghaith Shennib; Editing by Andrew Torchia and Susan Fenton)

Benghazi attack a short-term setback for Libya investment revival

(Reuters) - The taxi driver parked outside a luxury hotel in Tripoli says most of his business there has ground to a halt in the past two weeks.

Since an attack on the U.S. consulate in Benghazi on September 11 killed the U.S. ambassador and three other Americans, heightening fears for the safety of Westerners in Libya, there have been fewer foreign customers requesting his services.

"There has been a change, the foreigners are much more cautious now," the driver, who did not wish to be named so as not to be recognized, said. "They won't just come up to the taxi rank, they want to be careful. Some have gone, others are staying inside the hotel. But they're not going out with us."

The assault on the U.S. diplomatic mission was the most serious security incident in Libya since the end of the eight-month uprising that finished Muammar Gaddafi's 42-year rule last year.

Coupled with a lull in policymaking as the country awaits a new government that will take over soon from the interim administration, the attack risks scaring off foreign investors in the short term. It will also pressure the new administration to focus heavily on security, which could further delay much-needed reforms and reconstruction in Libya.

Security has been an issue as the country's new rulers have struggled to contain armed militias who have refused to give up their weapons since the war ended.

The Benghazi attack has led many companies to beef up security measures in Libyan cities, restricting staff movements, and as embassies warn against non-essential travel to the North African country, risk premiums are rising.

"Suddenly you will have people who won't be able to come because of insurance - companies may not send them because they see Libya as too risky," one foreign businessman in Tripoli said. "That will slow things down. And for those who had plans to bring their families here, that will be postponed."

Libya had been making progress in trying to attract foreign investment and stimulate its private sector: officials have been working to update a 2005 banking law which first allowed foreign banks into the country and have plans to introduce Islamic banking.

International oil companies were the first to return to the country after the uprising, helping oil production return to almost pre-war levels of 1.6 million barrels per day.

But recovery has been prone to setbacks: in July around half of Libya's oil-exporting capacity was temporarily shut down after protests by groups demanding more autonomy for eastern Libya, the source of most of the country's oil.

Major construction and transport projects have been untouched since last year, awaiting the authorities' approval to resume.

"The incoming government's focus will be so much on security, which has always rightly been a priority but there is now an added risk that restarting essential infrastructure projects may be put down the agenda in the immediate term," said Alex Warren of research and advisory firm Frontier, which runs The Libya Report business website.

Benghazi air space was temporarily closed after the attack, expatriate workers in the eastern city were relocated to Tripoli or fled overseas, and a British trade delegation was cancelled.

"What happened in Benghazi has a very negative impact because it may lead foreign businessmen to freeze plans to come and invest in Libya," said Issa al-Babaa, executive director of the Libyan Businessmen Council.

Yet the country's tiny stock market has barely reacted, dipping less than half a percent in the two weeks since the attack, according to Ahmed Karoud, general manager of the stock exchange, which lists about a dozen local companies.

That suggests the Benghazi attack may not have a lasting impact on business and, like in Iraq, foreign investors in the longer term may be willing to invest there despite security concerns if they see high returns.

CRACKDOWN ON MILITIAS

Many investors, including Chinese companies expected to bid for infrastructure projects, may not be deterred as violence has been directed mainly at Western targets.

"Given the current state of the economy, I don't think it's affected the macro picture or overall GDP growth. Oil production and trade has not been disrupted, there are no tourists to scare off and foreign investment is minimal at the moment," said Warren.

"But it's going to make it more difficult to move away from those current dynamics. Sentiment has been affected and the government will have to work harder to persuade foreign companies to come to Libya in the short term, given the added risk they will feel is involved."

Keen to make a break from the Gaddafi regime, the interim government said no major new concessions would be awarded until after the national assembly elections that were held in July.

The International Monetary Fund forecast in July that Libya's gross domestic product would double this year after shrinking 60 percent last year, helped by rebuilding and the release of pent-up private demand.

The attack is unlikely to hurt growth when oil accounts for the lion's share of revenues.

Libya aims to raise its oil production to 1.8 million bpd next year, above levels seen before the uprising.

But no new exploration and production contracts are expected for at least a year before a clearer landscape emerges from the OPEC member's democratic transition.

Gaddafi isolated the economy from much foreign competition, reserving licenses and contracts for his own circle, which makes some sectors attractive now he is gone, including telecommunications.

There are only two mobile operators, Al Madar and Libyana, which are both state-owned and a number of foreign telecom operators have been eying Libya including Etisalat of the United Arab Emirates, Qatar Telecom (Qtel) and Saudi Telecom.

Business potential highlights a lack of infrastructure which the new government will quickly need to address. In 2010, 14 percent of people in Libya were using the Internet, according to the International Telecommunications Union, compared with 49 percent in Morocco, 37 percent inTunisia and 27 percent in Egypt.

The stock exchange has wanted to attract more foreign investors to trade shares since it reopened in February after closing during the war, but says rules on bringing funds into the country need to be relaxed.

"We are waiting for the new government to be formed. Nothing is known until then and we hope it will be stronger in making decisions," said Karoud.

The killings in Benghazi fuelled public anger at the continued presence on the streets of armed units, driving an Islamist militia, Ansar al-Sharia, out of the city on Saturday while the army ordered unauthorized armed groups to leave public premises in Tripoli as leaders vowed to dissolve rogue militias.

Central Bank Governor Saddek Omar Elkaber said the crackdown would be positive for the investment climate.

"What happened at the consulate eats away at the trust that has been gained in Libya," he said. "The steps now being taken are the right ones, it will help renew the trust for foreign investors."

In Benghazi itself, birthplace of the revolution, recovery could take longer, delaying regeneration after decades of neglect under Gaddafi, who fashioned the capital Tripoli into his power base at Benghazi's expense, its residents say.

"The events (are) going to delay things even more. Things were starting to look on the up. That is going to set them back, which is unfortunate," said Richard Weeks, a British engineer who has lived in Benghazi for more than 20 years.

Libya's second city, Benghazi is a major oil port but many foreigners working there were evacuated after the attack. Even before that, the city had seen several attacks on Western missions and organizations.

"Libya needs foreign business partners," a European worker said as he left Libya temporarily following the attack.

"But when even friendly Arab businessman are planning to leave and there is no government support to foreign companies, there are a lot of question marks."

Dubai Chamber eyes Libyan trade opportunities

The Dubai Chamber of Commerce and Industry will lead a trade mission to Libya before year-end to assess investment opportunities, a senior Dubai Chamber official has said.

Speaking to Gulf News on the sidelines of the Libya Development Forum, Atiq Juma Naseeb, senior director of Commercial Services Sector at the Dubai Chamber, said: “Libya has strong potential for our members and the mission would serve as a platform to acquaint Dubai business professionals with the Libyan market.”

The delegate is made up of Dubai prominent businessmen and SME operators from different sectors, he said.

“The dramatic change in Libya marks a new era and the chance for foreign partners to assist in the rebuilding of a nation is required. Thus, Dubai is looking to drive investment in the country and aid our local businesses in penetrating and showcasing their products and expertise to their target markets.”

Officials from the UAE, and Dubai in particular, have made several instructive visits to Libya to examine how they can play an active role in the country’s development vision.

“As banking, construction, tourism and telecommunication are presenting major opportunities for investment, Dubai is well placed to assist since it has significant expertise in these sectors,” he said.

“One major opportunity for trade is going to come from Libya’s reconstruction efforts, with demand for rebar, cement, wood, iron and steel as well as technical expertise set to increase. Dubai has a strong industrial manufacturing base and excellent export and logistics facilities, so is ideal to meeting this increased need.”

Trade volume

“One area of investment that has significant potential and which Dubai has a major advantage is trade. Dubai’s trade with Libya has increased steadily since an end to international sanctions in 2005. Then Dubai’s exports to Libya valued Dh2.8 billion and imports Dh0.3 billion, but moving forward to 2010, Dubai’s exports [stood at] Dh3.5 billion and imports [at] Dh4.1 billion. “

Last year, Dubai’s non-oil trade with Libya reached Dh2.13 billion between January and October — a slight decline due to the impact of political unrest.

However, Naseeb added that the unrest had not proved to be as damaging as first anticipated.

“Dubai’s main imports from Libya are precious stones, which account for almost 96 per cent of the total. Meanwhile, Dubai’s exports are much more diversified, with electrical equipment, machinery and vehicles making up around 70 per cent and the remaining 30 per cent made up with categories that account for less than 2 per cent each,” he said.

Source: Gulf News

Shell’s undignified exit from Libya

There seems to be a lot going on right now between Shell's Libya employees and the company's senior managers. It all started when the Libyan wrote an angry email to Shell's management in response to the announcement made by the company to exist Libya.

Here is the response from Shell

By John Donovan

We have already published an article containing a leaked email purportedly sent on 14 June 2012 by disgruntled Shell Exploration & Production Libya staff to senior Shell managers. Shell claims that it is withdrawing from Libya because of a deteriorating security situation. It self-evidently prefers to do business with dictators (a policy stretching back to Hitler).

The disgruntled employees – 17 in total, are all members of Shell’s security staff in Libya.

We now have a Statement of Complaint signed by all 17, detailing serious allegations against Salah Alshaafi, the chief of the Shell Security team.

Salah Alshaafi is accused of being an agent of the Libyan security services . They say he has engaged in corruption, including misappropriation of funds meant for the security team and has used intimidation, including threats of imprisonment, to prevent Shell staff from speaking out. The complaint is said to be supported with evidence and witnesses.

Among the information supplied is a VIP Recruitment record apparently prepared when Shell was still buttering up the Gaddafi regime.

CLICK TO ENLARGE IMAGE

We also have an email sent today 16 June 2012 to a wide circulation list of Shell executives/employees concerning HR consequences of Shell’s departure from Libya.

Sent as an update to the previous invite:

Dear all,

In order to conduct our Department presentations on Severance packages safely and comfortably, the meetings will now be held at the Corinthia Hotel on June 24, 2012. Individual discussions to further explain the packages will also be held at the hotel on June 24, 2012. Exact timing of the meetings will be communicated to you later this week.

I hope this will not inconvenience any of you.

Kind regards,

Sana Sharafeddin

HR Manager

Shell Exploration & Production Libya GmbH

KM6.2 Gergaresh Road, Abunawas2

P.O.Box 91791

Tripoli, Libya

Mob:    +218912203940

Email:  Sana.Sharafeddin@shell.com

EMAIL ENDS

MORE INFORMATION IS PROMISED

RIGHT OF REPLY

Salah Alshaafi is invited to supply for publication here, on an unedited basis, any response he wishes to make to the allegations made against him.

COMMENT RECEIVED FROM A SHELL RELATED SOURCE

I note that the company name as stated on the email published today is “Shell Exploration & Production Libya GmbH”

The GmbH (Gesellschaft mit beschränkter Haftung) suffix denotes that this is a German company (registered in Hamburg).

German employment laws are amongst the most inflexible in the world. Perhaps the Libyan staff should take their complaints to a German court – from the recent treatment accorded to the representatives of the International Criminal Court (and numerous other recent events) I’m not sure that the Libyan legal system has sufficient credibility to provide justice to those who need its protection (and especially those whose pockets are less deep than Shell’s).

A couple of quotes fromhttp://www.mygermancity.com/german-employment-law

“German employment law is there to regulate relations between you and your employer. Of course, the law favors the employee and intends to protect him or her from unfair practices. You should know that all German employees must have written contracts with their employer. This is law in Germany. It includes contracts that show salary and benefits, starting date, place of performance and so on.”

“German employment law also regulates the rules of termination. You will be given maximum protection so you won’t be dismissed unfairly. Depending on how long you’ve been employed at the company, the employer will have to give you anywhere from four weeks to seven months notice. Be sure to check your employment contract as it will have been mutually agreed upon within your contract.”


Source: Shell 

New decree regarding foreign ownership in Libyan companies released

A new decree has been issued by the Libyan Minister of Economy (No (103) 2012) setting out the purposes, conditions and percentages for foreign individuals or companies to set up business in Libya.

The decree is entitled ‘The participation of foreigners in partnership companies and opening of branches and representative offices for foreign companies in Libya’.

The decree allows for both foreign individuals and companies to partner with Libyan individuals and Libyan companies according to their activities registered and based in abroad. But not forming Holding Companies.

The partnership companies can either be:-

 Shareholding (musahama) companies according to degree (No (23) 2010)

Or

Limited (mahduda) companies.

For the shareholding companies, the capital must be a minimum of one million LYD of which 30% (300,000 LYD) must be deposited at a Libyan bank at the stage of establishment.

There are five compulsory requirements such registration documents, licences, evidence of depositing the agreed share etc.

The limited companies can be set by individuals and a minimum capital of 50,000 LYD is required.

There are six compulsory requirements such as proof of identity, he/she has no criminal past, no bankruptcy history, evidence of depositing the agreed share etc.

The main purposes of forming the partnerships are to achieve followings:-

       ·         Transfer and localise the know-how and technology.

       ·         Annual technical and vocational training programmes for Libyans.

       ·         Annual development programmes for local labour to replace non-Libyans.

       ·         The use of equipment, machinery, raw materials and production inputs available in the local market

The maximum shareholding allowed for non-Libyans is 65%, but in exceptional circumstances the Ministry of Economy can raise the limit to a maximum of 80%. Libyan partners will be represented according to their shares.

There are 12 areas of activity where foreign partnerships are prohibited from operating in Libya as follows:

1.      retail and wholesaling

2.      importation

3.      catering

4.      agencies/distributorships

5.      auditing and legal firms

6.      Land transporting

7.      Inspection activities on all good supplied or imported only with the permission from the Ministry.

8.      Marine handling, shipping and air cargo activities.

9.      Packaging activities.

10.   Stones and rockets crashing.

11.   Civil construction for contracts for less than 30 million LYD.

12.   Any other restricted activities only allowed for Libyans

This decree excludes companies which already have legally set up branches in Libya at the time of the passing of this decree and which are contracted to implement projects – until the expiry of their contracts .These companies must thereafter renew their documentation upon expiry.

Companies with no branches or partnership agreements can apply for branch offices for market research etc, without the right to sign contracts. Branch offices can be opened for 2 years and are renewable for another 2 years only once. Branch offices discovered to be transacting commercial activities would be closed.

Article 18 of the decree stipulates that applicants to form Libyan-foreign companies shall receive a reply regarding their application, either way, within 30 working days.

Companies wishing to renew their presence in Libya should do so 3 months before the expiry of their licence.

Finally the decree in its ultimate article No.(21), stipulates that this decree is in force as of its date of publication (13 May 2012), and that Libyan-foreign partnership companies must legalise their status within one year of the passing of this decree.

Please click here to download the decree (Arabic version) http://www.docstoc.com/docs/120962773/D103

NOTE: All documents in forming the partnerships must be translated into Arabic in LIBYA and must be stamped at Libyan embassies or counsels of the country-based individuals or companies.

by Sami Zaptia (Libya Herald) and improved by Tarek Alwan (SOC Libya Ltd).

For more information please get in touch at T: +44 208 9878450 or E: info@soclibya.com

Thuraya to launch post-paid mobile satellite services in Libya

Major customers in Libya will now be able to enjoy Thuraya's post-paid mobile satellite handheld services. This comes after the signing of a commercial agreement between the mobile satellite operator and Al Jeel Al Jadeed, a firm specialised in satellite communications.

Furthermore, Al Jeel Al Jadeed, which is a subsidiary to Libya Post Telecom and Information Technology Company (LPTIC) that replaces old General Post and Telecommunications Company (GPTC), has been assigned as a distributor of Thuraya IP and Marine services which will be promoted to vertical markets in Libya. Al Jeel Al Jadeed will be focusing on targeting large corporate organisations which form the main customer base of satellite-based communications services.

"With Thuraya going more towards vertical markets, it makes a lot of sense to gear business offerings towards service models appropriate for corporate users, and the post-paid satellite handheld service is a prime example of that direction. Post-paid services ensure customers credit availability as opposed to pre-paid services whereby customers have to observe their credit limits," said Thuraya's Chief Technology Officer, Mr. Ali Al Mazrooei.

He also added that both Thuraya IP and Marine are compact and user-friendly solutions that will be rolled out rapidly through the distribution network of Al Jeel Al Jadeed.

On a similar note, Mr. Mohamed Hassan, CEO and Chairman of Al Jeel Al Jadeed said, "We are very proud to be the first to introduce post-paid services for mobile satellite handhelds to the Libyan market and facilitate voice communications for our customers. Thuraya's competitive products, IP and Marine will be met with great demand in Libya due to their advanced features and efficiency."

He elaborated that Thuraya's diverse portfolio including voice, data, maritime and tracking services meets the needs of vertical market sectors such as government, corporate and oil and gas firms.

Thuraya's handheld pre-paid services have been available in Libya since 2002 and the introduction of post-paid services is an expansion of the Company's offerings.

Thuraya IP is the world's smallest satellite broadband solution and capable of achieving streaming speeds of 384 Kbps. With Standard IP speeds of up to 444 Kbps, Thuraya IP requires no additional software for installation as it is based on a user-friendly plug and play system. A-5 sized which adds to its portability and mobility, it is the only satellite broadband solution with asymmetric streaming where customers can select upload and download speeds for high quality service cost-effectively.

Thuraya Marine is a multi-communication device offering voice, data, SMS and fax services onboard ships. The solution also provides distress calling services to organisations selected by the customer. The solution is easy-to-install and has an advanced antenna that is omni-directional and flexibly moves with the ship.

Source: AMEinfo.com

Brighton architects get recession relief from Libya

Brighton and Hove’s architecture firms have received an unusual helping hand through the recession – from Libya.

Construction projects in the oil-rich North African state have boomed since the end of UN sanctions in 2003 and designers from the city have emerged as the favoured choice.

They have been commissioned for a string of major developments, including mosques, schools and hotels, which have kept jobs secure in Brighton and Hove as the UK economy collapsed.
The unlikely link was originally forged by LCE Architects, based in Western Road, Brighton, the firm behind Brighton’s Jubilee Library.

It has since spread to involve Camillin Denny, based in New England Street, and DRP Architects, the firm behind the refurbishment of the Birdcage Bandstand.

Nick Lomax, LCE’s managing director, said: “It started in 2002, when we had a Britishtrained Libyan architect working for us who suggested we should look into possibilities there, so we did.”

Since then growth in Libya has been rapid, with the state now able to utilise the wealth from its oil and gas resources.

In the past eight years Mr Lomax’s 55-strong practice has designed a series of buildings in Libya, including a central mosque, ten faculty buildings for the Al Fateh University in the capital Tripoli and the prototype for new schools to be built across the country.

Mr Lomax said: “There are fantastic opportunities there, some exciting work, and it has been good for our practice. We couldn’t have predicted the credit crunch would happen but now it seems it was a very good decision.”

Camillin Denny, which has recently unveiled plans for a redevelopment of Medina House on Hove seafront, has worked on a series of Libyan projects since 2006.

They include a new heritage museum and university buildings in Tripoli as well as master plans for town redevelopments and a beach resort on the Mediterranean.

Director Mark Camillin said: “It has helped us to survive the downturn. We employ 40 architects in Brighton and we’ve managed to keep going because of the work there.

“There is a strong tie between Brighton and Libya. A lot of Libyans come here to learn English and have a lasting like of the city.”

He added that while the economies of Abu Dhabi and Dubai had faltered, slowing the number of projects taking place there, Libya remained financially strong.


Source: The Argus. theargus.co.uk

Verenex investors await Libyan counter bid

Investors in Canada's Verenex Energy Inc. said on Wednesday they saw growing risks of delays in the $C499 million ($425 million) sale of the company to China or Libya.

Libya has said it will exercise its right to pre-empt a friendly C$10-a-share bid for Verenex from China National Petroleum Corp (CNPC) but Verenex in its earnings release on Tuesday said Libya had yet to make a formal offer.

Shares of Verenex were trading little changed at C$9.16 on Wednesday, indicating investors still expect a sale to happen. But some are uneasy over the lack of a formal bid from Libya, or word on Libya's consent to China's offer.

"The best thing is either the Libyan government says yes to the Chinese, or the Libyan government agrees to buy it on the same terms," a Verenex shareholder who declined to be identified said on Wednesday.

"But we have to be prepared for a situation where the downside occurs and Verenex goes back to a much lower price if it doesn't happen.

Source: Reuters