Farmajo and Roble played role in shady oil deal in Somalia – source

A source within Coastline Exploration Ltd revealed that both Farmajo and Roble were aware of the signing of the deal from the beginning and the firm will share evidence to prove its claims if required.

News Keydmedia Online
Farmajo and Roble played role in shady oil deal in Somalia – source

MOGADISHU, Somalia – The outgoing president Mohamed Abdullahi Faramjo and his PM Mohamed Hussein Roble both have played a role in a new controversial oil agreement with a US-based company.

Abdirashid Mohamed Ahmed, Somalia’s petroleum minister has announced the deal on February 19, saying Coastline Exploration Limited would explore oil and gas in seven offshore blocks in Somalia.

A source within Coastline Exploration Ltd revealed that both Farmajo and Roble were aware of the signing of the deal from the beginning and the firm will share evidence to prove its claims if required.

The minister has on February 19 declared that Farmajo has helped him sign the agreement in London.

We are pleased to announce that we have signed 7 Production Sharing Agreements with COASTLINE EXPLORATION LTD. It is a victory for the Somali people. I thank the President of FGS for supporting the process and encouraging us to complete this task,” he tweeted.

The company – formerly known as SOMA OIL & GAS said it had signed seven production-sharing agreements (PSAs) with the federal government of Somalia. The deal costs $7 million, per the minister.

According to the source, Coastline Exploration CEO William Anderson was shocked with the statements by Farmajo and Roble to nullify the deal while they had been satisfied with the signature in the first place.

Somalia launched its offshore exploration hopes in 2013, striking a deal with UK-based Soma Oil & Gas which in 2018 changed its name to Coastline Exploration Limited after facing a huge corruption scandal.

Ex-Somali PM Hassan Ali Khaire has had a stake in Soma oil & Gas owned by a Georgian businessman, Alex Djaparidze, who later sold Eurasia Drilling Co. Djaparidze now sits on the board of Coastline.

The Minister of Petroleum & Mineral Resources said Coastline was required to deposit $ 7 million with the Central Bank within 30 days, but he covered up the $ 7 million missing from the $14 million deal.

The secret corruption surfaced, the Office of the Auditor-General said it will take legal action against parties involved in hydrocarbon exploration deals for acreage off Somalia.

The opposition says the outgoing president who is in office 1-year extra time is campaigning, seeking re-election, and is auctioning off the country's resources to fund his second-term bid.

KEYDMEDIA English

Commenting is not available in this channel entry.