Leila Benali: Government has 5 potential resolution scenarios for Samir refinery

Minister of Energy Transition and Sustainable Development Leila Benali, said before the House of Councillors that the Executive was examining the technical and economic scenarios to reach appropriate solutions to the Moroccan oil refining company Samir.

This came in response to questions from advisers during discussions with the Committee on productive sectors of the House of Councillors, for the sub-budget of the Ministry of Energy Transition and Sustainable Development, according to a statement.

Leila Benali explained that the government is studying different technical-economic scenarios, taking into account the interests of all parties concerned, the groups associated with this company, the Moroccan state as a potential investor, the company’s workforce, the inhabitants of the city of Mohammedia as well as all stakeholders in the refinery at the national and international level.

The Minister of Energy Transition, who spoke at a session of oral questions to the House of Councillors said that this was an investment that must be treated reasonably and rigorously, hence the difficulty and need to develop a clear vision in terms of management and consideration of the interests of all in all.

In addition, she said that the Samir case was characterized by “unprecedented complexity,” given the accumulation of problems for over 20 years, which led to a stop of the refinery, as the file was transmitted to the court and judicial liquidation, with the continuation of its activity under the supervision of the trustee and a bankruptcy judge.

Benali also said that the national energy ecosystem has not noted any malfunction of energy supply, the needs of the national market having been fully met.

The only matter that has experienced malfunction this year is natural gas, she noted, praising the efforts of the government that have solved this problem and ensured supply in record time and despite the unprecedented global crisis.

The Minister said the government is studying five proposed scenarios to resolve the crisis, saying the ministry will announce them to the public after completing their review.

The government official has, in response to a written question from MP Mohamed Ouzzine, that the complexity of the company’s case is due to the accumulation of malfunctions and debts over the past twenty years.

Benali said that “on March 14, 2018, the Coral group filed a petition with the International Centre for Settlement of Investment Disputes in Washington against the Moroccan government to be compensated for any damages it suffered when the company went bankrupt.

The minister said the 2009 National Energy Strategy did not make refining its most important pillar, and that Morocco remains a non-oil producing country.

That said, the Casablanca Commercial Court (TTC) ordered in October that Samir remain in operation for another three months. This is the 27th time that this court has reaffirmed its sentence.

The TCC is taking charge of the judicial liquidation proceedings, the decision of which was pronounced on June 1, 2016. The TCC has still not managed to find a possible buyer knowing that an attempt to lease the storage bins to the Moroccan state had failed in November 2021.