Libya's Oil Company Stops Supplies to Switzerland

Libya supplies approximately 20 percent of Switzerland's annual oil demand. Tamoil imports crude into the port of Genoa, Italy, then sends it by pipeline to its 50,000 barrel-a-day Collombey refinery. The company also operates more than 300 gasoline service stations in the country and a heating oil business.

But Tamoil spokesman Laurent Paoliello recently announced the halt in supplies.

Rolf Hartl, spokesman for the Association de L'industrie Petroliere Suisse, commenting on this, said that it was a political decision, because the whole of Tamoil's business in Switzerland is at risk.

On July 15 this year Hannibal Qaddafi, Libyan leader Muammar Qaddafi's youngest son, and his wife were arrested in a Geneva hotel after two of their employees filed a complaint accusing them of mistreatment.

The couple were detained for two days, then allowed to return to Libya. The servants dropped their charges last month.

Tensions between the two countries had escalated in late July when Libya ordered Swiss companies to close offices in the country. Libya's state-run oil tanker company said July 24 it would stop carrying oil destined for Switzerland, though it later backtracked on the threat.

Now the decision is final and already accomplished. As for the Swiss party, Rolf Hartl said that Switzerland would be able to cover its shortfall by buying supplies in the spot market.

Author: Ksenia Kochneva