United World: Could you please tell us a little bit about Zueitina Oil?

Mr. Oun: Zueitina Oil Company was incorporated in 1986 as a Libyan-owned company with a mandate to carry out the whole range of oil operations. This happened after Oxy Libya left due to an American Presidential order and a standstill agreement signed which froze the assets of Occidental International, which was established in 1966.
Zueitina Oil Company currently operates on behalf of-the National Oil Corporation of Libya (NOC). Occidental International and OMV of Austria, which acquired a 25% share of Occidental International's interest in 1985.
In the year 2003, NOC was authorized to renegotiate the standstill agreements with American companies. NOC is now in the final stages of discussions for the return of Occidental International as a full partner.
The mandate of Zueitina Oil Company is to efficiently produce Crude Oil, Natural Gas and Condensates at a minimum cost, with an optimum recovery, and with a great emphasis being placed on environmental and reservoir protection.
The Company is currently handling up to 20% of the country's Oil and Condensate exports.
Zueitina Oil Company also enjoys the competitive advantages of having a fully developed infrastructure, from Drilling to Terminal Facilities, and employs a dedicated team of experienced and highly qualified engineers and technicians.

United World: Now that Occidental has signed a re-entry agreement, what does the future hold for Zueitina?

Mr. Oun: There is a lot of room for enhanced recovery projects, which will require a lot of investment and know-how. This can add to the production figures. The company needs a growth plan, which Occidental can contribute to. The other thing we are working towards with Occidental is what we call a Technical Service Agreement, in which Occidental staff will be seconded to Zueitina; we still need to get the NOC's approval on this matter. This will help us a lot.

United World: What do you foresee as your biggest challenges ahead, as Occidental gradually merges with Zueitina on a larger scale?

Mr. Oun: The biggest challenge will be to convince the owners to provide the financial support to have projects like the enhanced recovery methods. The other thing is the motivation of the Libyan staff. The situation at this point is in the hands of Law 15/81 that restricts the salaries of Libyan workers, so they have very little incentive to work. We have skilled people that are leaving for that reason. As an operator, we cannot do anything about this.
Other than that, we welcome Occidental back because we recognize that they are a vital part for the future growth of this company.

United World: Why do you think American and Libyan businesses work so well together?

Mr. Oun: There are three main reasons for this. One is the history that American oil companies have in Libya; they were the first to discover oil here in 1957. The other reason is that they are pioneers in this field when it comes to their technology and equipment. The third is their management skills; it's simple, their target is clear and they're active.

United World: What makes Libya so attractive to American investors?

Mr. Oun: I think that the terms that Libya is offering are acceptable to the foreign oil companies and the potential is there in terms of oil reserves; of course nothing can be confirmed at this stage. The fact of the matter is that 70% of the country is unexplored for oil and gas, both offshore and on-shore. Then there is the security issue, which is attractive here; the country is stable and safe.

United World: Could you tell us a little about your career development?

Mr. Oun: I graduated as a chemical engineer from the Al-Fateh University in Tripoli in 1974. I went to London in 1978 for engineering work to develop the EPSA area, and I returned to Libya as a field supervisor. I worked in the field as a deputy operational superintendent in area 103. I was promoted to production manager in 1981, only six months before most of the American companies pulled out of Libya. I was the youngest operations manager in the country at the time. It was quite tough admittedly. It was a big challenge to keep all the operations running when the Americans pulled out because they were using cutting edge technology and equipment that we were unable to obtain or replace easily.

United World: What is the main message that you would like to convey to our audience?

Mr. Oun: We consider our country to be blessed with many unique features, not the least of which are the people, who are competitive, but easy going. Libya is a safe place to live, and is also a safe place to invest in.
Now that the sanctions against Libya have been lifted, and the embargo is behind us, investor confidence has quickly returned and is evident everywhere you look, which further demonstrates the resilience of the Libyan people. We are confident that foreign investors will use this opportunity to work together with us to further develop our country to its full potential.
As we speak, 70% of the Land and Sea in Libya remains unexplored, and most indications show huge potential for further development. We urge investors to consider the opportunities offered here in Libya, and to have the confidence that by working together, they will benefit from safe and lucrative returns on their investments while providing a solid social and economic stimulus to the Libyan economy that will benefit generations to come.

We also urge the western powers to have a rational and pragmatic look into the underlying problems that Arab countries face in a modern world. We sincerely hope that the prevailing attitudes of the world community will continue to migrate towards peaceful negotiated solutions to long-standing problems through the United Nations, rather than the use of force. To use the same standards in dealing with problems and to avoid using their national interest causes to override justice & logic.

United World: Thank you very much for your comments.

Mr. Oun: Thank you.