Tuesday, April 27, 2010

Shell Wrote Letter Tony Blair Used in Libyan Oil Deal

Shell wrote letter Tony Blair used in £325m Libyan oil deal

By Paul Bentley and Claire Ellicott
27th April 2010

Tony Blair used a letter written by Shell to lobby Colonel Gaddafi on its behalf to clinch an oil deal, documents reveal.

A letter he wrote to the Libyan leader bears a remarkable similarity to a briefing note Royal Dutch Shell sent him weeks earlier promoting a £325million deal.

The correspondence, obtained under a Freedom of Information request, reveals just how much Mr Blair was influenced by the oil company when he was Prime Minister.

It also puts into question the Government's motives for releasing Lockerbie bomber Abdul Baset Ali al-Megrahi.

Lockerbie victims have accused the Government of releasing the terrorist in order to allow British companies better access to oil and gas deals in Libya. The letters reveal that

Shell asked Mr Blair to discuss progress on weapons of mass destruction and about information on the investigation into the murder of WPC Yvonne Fletcher outside the Libyan Embassy in London in 1984.

The objective was 'to cause the Leader to instruct the Cabinet to approve/finalise quickly' the company's deal, according to the Shell draft.

Shell advised the Prime Minister to congratulate Colonel Muammar Gaddafi on Revolution Day and to comment on Libya's 'remarkable year of progress'.

The draft, seen by The Times, refers to the Shell deal, stating: 'The terms of the agreement have now been negotiated and approved ... now waiting for [Libyan] Cabinet approval.' Mr Blair's official letter echoed the draft. It stated: 'I understand the necessary technical discussions with the relevant authorities in Libya have been completed satisfactorily.

'All that is needed now are final decisions by the [Libyan] General People's Committee to go ahead.'

The Libyan cabinet agreed the Shell deal shortly after this letter was written and the contract was signed in May 2005.

Al-Megrahi killed 270 people on board Pan Am flight 103 in 1988.

He was freed on compassionate grounds last year following a doctor's reports that he had terminal prostate cancer.

The former Libyan intelligence officer celebrated his 58th birthday in Tripoli last month, despite being given just three months to live in August 2009.

There was speculation at the time that his release was part of a deal struck between Britain and Libya to improve diplomatic ties between the countries.

Though the Government denies this, it emerged that Britain and Libya had signed a prisoner transfer deal in 2007 that included al-Megrahi 'in view of the overwhelming interests of the UK'.

BP has signed a $900million deal to explore offshore oilfields and BG Group, the former British Gas, is searching for resources in the Libyan Desert.

Shell, the Anglo-Dutch oil producer, secured its £325million deal to build a liquid natural gas terminal on the Libyan coast.

Shell declined to comment. A spokesman for Mr Blair said: 'It is absolutely right that the Government works to support and secure jobs and investment abroad.'

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