No way with
A Norwegian oil deal with Sri Lanka
is ending up with three different view points amongst
government authorities and the Norwegians, lucratively,
up on the deal.
The Ceylon Petroleum Corporation (CPC)
last week decided to compensate TGS-NOPEC to terminate
the Non-exclusive Seismic Data Agreement and retrieve
the data, despite opposition from the Strategic Enterprise
Management Agency (SEMA).
SEMA and some other CPC officials
said TGS-NOPEC has never submitted the 2D seismic data
it collected to the CPC as per the original agreement
signed in 2002.
However, a senior official involved
in the signing of the original agreement said TGS-NOPEC
was never in breach of contract as they have already
submitted the data to the CPC even though he admitted
to never having seen the data.
The CPC through the Ministry of Petroleum
Resources submitted a cabinet paper to get approval
to retrieve the data and terminate the agreement between
the CPC and TGS-NOPEC Geophysical Company ASA, a Norwegian
company which was contracted to conduct seismic surveys
in the Mannar and Cauvery Basin.
“The cabinet paper has not been
approved yet but has been submitted for approval. It
will be approved at the next cabinet meeting. Sri Lanka
has to pay a total of 10.5 million dollars as compensation,
2 million of which is offset by the sale of data by
the company,” said A.H.M. Fowzie, Minister for