"Libyans want to live a normal life" – John Dalli in 2004

Published: March 5, 2011 at 1:18pm

In 2004, The Washington Post interviewed John Dalli for a story about American oil companies negotiating with Libya for compensation for facilities which were nationalised by Gaddafi in the 1970s.

Reading the piece, and putting what Dalli said then into the context of what we have learned about his personal business interest in Libya since then, I’m left with the very uncomfortable suspicion that the 16 years he spent “handling Libyan affairs for his government” were treated as a magnificent networking and contacts-building opportunity, a door-opening exercise for Dalli himself.

Dalli would not have been able to do that in a European Union member state, but Libya is (was) the perfect territory for an operator who mixes business and politics. The key players in the Gaddafi regime took that sort of thing for granted and did it themselves. It was how things got done, culminating in the current aggro.

In the light of what Dalli said yesterday, I found this paragraph particularly poignant:

Dalli said Libya’s change of heart not only stems from geopolitical changes in the region and Gaddafi’s disaffection with the Arab League and the Organization of African States. It also grows from rising expectations at home and new public contact with the outside world through the Internet revolution. “In a rich country like Libya, people’s aspirations are growing. They want to live a normal life,” said Dalli, a former finance minister.

THE WASHINGTON POST – Oil Companies Discreetly Negotiate With Libya

By Nora Boustany
Wednesday, May 26, 2004

American oil companies whose facilities were nationalized by Libya in the mid-1970s have been secretly negotiating with senior oil officials there for months to work out a compensation package, according to Persian Gulf regional diplomats in contact with these firms and a European cabinet minister who was in Washington recently.

The talks began in mid-2003, about six months before the international rehabilitation of the government of Moammar Gaddafi and the lifting of U.S. sanctions. Gaddafi has been recasting himself as a global team player in an effort to shed his image as the revolutionary and Arab nationalist who took over petroleum production.

“There have been and there still are some visits on an exploratory basis by these oil companies,” said John Dalli, Malta’s minister of foreign affairs and investment promotion, who has handled Libyan affairs for his government for 16 years.

“The agreement for nationalization originally speculated there would be a sort of compensation package. Even at that time, it indicated that assets will not be totally lost,” he said in an interview Thursday. “What they will be negotiating now are the technicalities of the formula,” added Dalli, who was in town last week for a meeting with Secretary of State Colin L. Powell.

Dalli said Libya’s change of heart not only stems from geopolitical changes in the region and Gaddafi’s disaffection with the Arab League and the Organization of African States. It also grows from rising expectations at home and new public contact with the outside world through the Internet revolution. “In a rich country like Libya, people’s aspirations are growing. They want to live a normal life,” said Dalli, a former finance minister.

In recent years, Western companies have expressed new interest in tapping Libya’s consumer market and updating its oil industry’s infrastructure. Gaddafi’s resistance even to modest free-market reforms in the past few years had constrained foreign investment, but that may change now.

The Libyans are insisting that foreign companies doing business in Libya “come in as partners and not as traders,” added Dalli.

Malta managed to maintain cordial ties with Libya while honoring the U.N.-imposed sanctions of 1992-2000. Now, Dalli said, Malta is hoping to find a niche for itself in mid-level management and services operations of Libya’s oil industry.

“Malta can act as a facilitator for companies or individuals hoping to do business in Libya,” he said. “We know the terrain and can act as very good scouts.”




7 Comments Comment

  1. Ragunament bazwi - the Libya expert edition says:

    Dalli’s supporters include a two-decades former resident of Libya who “knows something of these people’s mindset”.

    http://www.timesofmalta.com/articles/view/20110304/local/libya-events-amount-to-civil-war-john-dalli

    Michael Walter

    Quite correct.This is a matter for the Libyan people to resolve.Very obious from the comments that most contributors have never set foot in Libya.I worked there for close to two decades,and pretend to know a little of the mindset of these people.Catagorically stated ,no Libyan will accept the interference of foriegners in their affairs.And rightly so.
    For those that think the US act for idealistic,moral reasons,think again.Their intervention is confined to the places where they perceive an easy victory,coupled with either strategic or financial gain.
    Cambodia,where millions were murdered,Uganda,when Amin was EATING his people,Zimbabwi,tens of thousands starving,with Mugabbe living the life of Riley.Palistine,Burma,China.Many,many more examples available to those that wish to see.No sabre rattling or gunboat diplomacy for them.

    [Daphne – He can’t be British, a native English speaker or really called Michael Walter if he writes ‘pretend to know’ (nippretendi li naf).]

  2. Ragunament bazwi - the humanitarian edition says:

    Why should Malta support humanitarian efforts? – from timesofmalta.com

    http://www.timesofmalta.com/articles/view/20110303/local/malta-sending-six-humanitarian-flights-to-tunisia-libya-border

    alan clarke
    Anyone know when these flights will be operating??? Or could the minister have jumped the gun?? Also why is it that the Egyptians are going to get the ride free from Djerba and the maltese who were in Libya had to pay?

  3. Ragunament bazwi - the Carmel Cilia special says:

    Carmel Cilia doesn’t want to throw the Christians to the lions. He wants to leave them in Libya. – from timesofmalta.com

    http://www.timesofmalta.com/articles/view/20110303/local/malta-sending-six-humanitarian-flights-to-tunisia-libya-border

    Carmel Cilia
    It is not the question of paying or not paying. Some days ago when the American embassy chartered a ship to get its citizens out it was reported that these same Americans had to sign papers requesting them to refund the American government. After all these Egyptians were working and earning money there. Why should we one of the poorest nations in Europe have to make good for their transport back to their country.
    I don’t know and I don’t want to seem like an uncharitable Maltese but I say why is it always us. Our old people are not daring putting a heater on because of the price of gas( we have to use the money to save employment) now we are playing the millionaires and using the very Air Malta which two weeks ago was a drain on our economy to make six flights in this sense.
    All in all I say we are also sick of mind to even consider getting the Eritreans here. The time of the christians in the Arena is over and when this is also over we have to face the music.
    Yes for me our children come first.

  4. .Angus Black says:

    Dalli may ‘know the terrain’ but is definitely not a ‘very good scout’.

    A good scout would easily distinguish between ‘ketchup’ and ‘blood’.

    By the way, I harbour no ‘vindication’ against Mr. Dalli.

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