Long accustomed to the power vacuum, Lebanon is drifting along without a government while political deadlock prevents Prime Minister-designate Tammam Salam from forming a new cabinet. Three major cabinet-level decrees affecting Lebanon’s offshore gas drive remain unresolved and await the approval of a future government.
A draft decree governing offshore blocks across Lebanon’s Exclusive Economic Zone (EEZ) was submitted to caretaker Prime Minister Najib Miqati’s cabinet just days before Mr Miqati’s resignation (see map). Additionally, a decree outlining the country’s model Exploration and Production Agreement (EPA), as well as a decree governing the tendering process await signature. At least three factors may lead to a delay in approving these three decrees. Firstly, it may take many months to form a new government. Second, a future cabinet may find more important issues on its docket, pushing the hydrocarbons decrees down the agenda. Third, the decrees may also face delay since a future cabinet may amend the details of each of these three decrees. (CONTINUED - 1072 WORDS)
