According to Somalia’s oil ministry, the country rejected Genel Energy’s (GENL. L) “illegal claim” to oil exploration and exploitation rights in Somaliland, the country’s northern breakaway region.
Although Somaliland declared its independence from Somalia in 1991 and has maintained a high level of peace while the rest of the country has struggled with a 30-year civil war, its leadership has not been widely recognized internationally.
The Somalia oil ministry issued a statement in which it stated that it “categorically rejects Genel Energy plc’s claim to own petroleum rights in Somalia’s northern regions and calls upon Genel Energy plc to cease its illegal claim to own petroleum rights.”
According to the oil ministry, it is the only organization in Somalia with the legal authority to issue permits. Genel said earlier this month, its geotechnical survey in Somaliland was complete.