Medco Starts Arbitration against National Oil Company of Libya

PT Medco Energi Internasional Tbk (MEDC) has started international arbitration at the ICC against the National Oil Company of Libya to enforce its contractual rights under an exploration and production sharing contract and protect its right to benefit from its investment in Area 47 in the north African nation.

Energy Voice reported arbitration started at the International Court of Arbitration on 15 March 2022, as quoted from Medco Energi's 2021 annual report last week. The decision to arbitrate was taken in response to the NOC's attempts to circumvent its obligations under the contract and its further attempt to prevent Medco from fully participating in the development and exploitation of Area 47 by, instead, seeking to develop Area 47 for the NOC's sole benefit.