September 01, 2016 | English | Valerie MarcelEstablishing a National Oil Company in Lebanon
This paper reviews possible roles for a national oil company (NOC) in Lebanon and their appropriateness at various stages of development. Specifically, it addresses when the right time to create a national oil company is; the role an NOC can effectively play in the pre-licensing, exploration, development, and production phases; and what governance frameworks can keep it in check. The paper concludes that the establishment of an NOC presents very real governance risks. While various processes and rules can mitigate these risks, such measures depend on strong political leadership. Without them, it will be difficult to hold the process to a higher standard.