Grass root advocacy organization, The Solidarity and Trust for a New Day (STAND) has issued a strong warning over it termed as the reckless production sharing contract recently signed between Atlas/Oranto Petroleum and the Boakai administration, through the Liberia Petroleum Regulatory Authority (LPRA), covering offshore oil blocks. STAND, in a press release signed by its National Chairman, Mulbah Morlu, said this deal is a brazen attack on Liberia’s sovereignty, a blatant abuse of public trust, and a deliberate handover of the nation’s natural wealth to a private few, threatening the country’s economic future and undermining the rights of all Liberians.
STAND added that its investigation has uncovered that the valued of the blocks are over one billion United States Dollars describing the deal as a ‘corrupt deal was executed in secrecy, without competitive bidding, transparency, or public accountability.’ According to STAND, the deal represents a dangerous reversal in Liberia’s governance and natural resource management, and a blatant violation of both national and international law. The grass root advocacy organization condemned it as a ruthless betrayal of the Liberian people — a shameless plunder by a cabal of corrupt political elites who continue to enrich themselves on the nation’s wealth while the masses languish in poverty.
The Atlas/Oranto agreement, STAND claimed that was secretly negotiated and reportedly signed in Paris, France, flagrantly violates multiple Liberian laws and international transparency standards; adding: “ it tramples on the principles of openness, accountability, and fair competition enshrined in the following frameworks” • The Petroleum (Exploration and Production) Act of 2019, which mandates open, competitive bidding and public disclosure of contracts. • The Public Procurement and Concessions Act of 2010, which requires transparent and competitive procurement processes. • The Liberia Extractive Industries Transparency Initiative (LEITI) Act of 2009, which demands publication of all natural resource contracts. • The Environmental Protection and Management Law of 2003, which obligates environmental and social impact assessments prior to any extractive operation.
• Article 7 of the 1986 Constitution, which mandates that national resources be managed for the maximum benefit of the Liberian people. The grass root advocacy organization pointed out that beyond domestic violations, the deal also contravenes Liberia’s obligations under the United Nations Convention Against Corruption (UNCAC) and the Extractive Industries Transparency Initiative (EITI) Global Standard, both of which require transparency, competitive licensing, and public accountability in natural resource contracts. STAND argued that by willfully ignoring these legal frameworks, the Boakai administration has compromised the rule of law, mortgaged the country’s future, and mocked Liberia’s commitment to good governance. STAND notes with dismay that the government entered into this agreement despite Oranto Petroleum’s tainted history in Liberia.
“Between 2004 and 2007, Oranto acquired oil blocks LB-11, LB-12, and LB-14 through bribery and opaque negotiations, later selling them to Chevron for more than US$200 million—without drilling a single well or delivering a single benefit to Liberia.” According to STAND, the deal follows the same path of corruption, deceit, and elite profiteering, designed to enrich a few well-connected individuals while robbing the Liberian people of their rightful inheritance. Meanwhile, STAND maintained that its research uncovers that Oranto Petroleum has no demonstrated financial or technical capacity to conduct deep water exploration, which typically costs US$80–200 million per well. “This raises serious doubts about the company’s ability or intention—to conduct real exploration,” the statement said; adding: “the pattern suggests that Oranto’s goal, once again, is to speculate and resell Liberia’s resources for profit, leaving the nation empty-handed.”
The advocacy organization indicated that given these egregious violations of law and trust, STAND and the December 17 “Lead or Leave Enough is Enough” protest coalition called on the national legislature to immediately reject and cancel this illegitimate and unlawful contract. “In the interest of national sovereignty, transparency, and justice,” the STAND’s press statement went on, “we demand the immediate cancellation of the Atlas/Oranto Petroleum PSC for blocks LB-15, LB-16, LB-22, and LB-24. STAND is also demanding a full publication of all existing and pending production sharing contracts under the LEITI framework. The group is also demanding an open and competitive bidding process for all future oil blocks, in strict compliance with the Petroleum Act of 2019. “An independent investigation into all officials and entities involved in negotiating and approving this illegal deal, with full legal accountability. Liberia’s natural resources are the collective inheritance of its people, not a private estate for corrupt elites.”
“They must not be bartered away through secret agreements that violate the law and betray the public trust.” STAND said the Oranto Oil Deal is a national disgrace and a criminal affront to the Liberian people because it represents the continuation of the corruption that has crippled Liberia’s development, impoverished its citizens, and eroded public confidence in government. Concluding, STAND and its collaborators reaffirm their commitment to mobilize citizens on December 17 in peaceful protest against corruption, bad governance, and the reckless sale of Liberia’s natural resources.
Author: Zac T. Sherman
