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2 Apr 2018

Liberia: New Global Witness report critical of Exxon's involvement in an oil block deal allegedly tainted with irregularities & undermining transparency

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A new Global Witness investigation shows Exxon’s 2013 purchase of Liberia’s Block 13 oil license likely enriched former government officials who may have illegally owned the block. The state oil agency NOCAL also allegedly made unusual, large payments to senior government officials who authorized the 2013 deal. Global Witness' evidence shows that Exxon suspected the company it was purchasing the oil block from – Broadway Consolidated/Peppercoast (BCP) – was likely part-owned by former Liberian politicians who had illegally granted themselves the block. Exxon allegedly knew its purchase might enrich these former politicians. Exxon, BCP, BCP’s suspected owners, and the Liberian Government did not respond to Global Witness when asked about the deal. Canadian Overseas Petroleum did respond, stating that its due diligence showed that there were no legal problems with the deal, it had legal advice on its anti-money laundering and anti-corruption obligations, and that there was no credible evidence that BCP was owned by former officials. Details of this response can be found in Global Witness’ report. Global Witness calls on the Liberian Government to investigate those involved in Exxon’s 2013 oil deal for corruption or wrongdoing.

Exxon said they were: "confident that the agreement complies with local Liberian law and international anticorruption laws….Exxon Mobil has an unwavering commitment to honest and ethical behavior wherever we do business. We have a longstanding commitment to compliance with the U.S. Foreign Corrupt Practices Act and the anticorruption laws of the countries and territories in which we do business."

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