ExxonMobil granted contracts to those connected to Government of Equatorial Guinea
The friends and families connected to the Government of Equatorial Guinea live lifestyles fit for kings and queens.
These “selected” individuals can happily enjoy their riches today, much to the credit of USA oil giant ExxonMobil. But a damning investigation later revealed that the source of their wealth was due to the fact that ExxonMobil was funneling millions of dollars into a private account belonging to the Government. And that is not all. ExxonMobil was also granting contracts to the friends and family members connected to the Government of Equatorial Guinea. Several anti-corruption advocates fear that the same may take place in Guyana. One such instance that has fueled this fear surrounds that of the Mangal brothers. The advisor to the Govern- ment on oil and gas is Dr. Jan Mangal. But just a few weeks ago, his brother, Lars Mangal, won a bid for his company to construct an onshore facility for ExxonMobil. The Government is insisting, however, that there is no conflict of interest or favoritism in this regard. Be that as it may, the actions of ExxonMobil in Equatorial Guinea expose the extent to which oil companies can actually engage in various forms of favoritism, conflict of interest and corruption.
Be that as it may, the actions of ExxonMobil in Equatorial Guinea expose the extent to which oil companies can actually engage in various forms of favouritism, conflict of interest and corruption. These activities are allowed to take place especially when countries have weak Local Content Policies. A Local Content Policy ensures added value is brought to a nation through workforce development. This can take the form of employment and training of locals by the foreign oil company. The Policy also ensures that there are investments in supplier development, such as ensuring that the foreign oil company uses supplies and services which are provided locally. In the case of Equatorial Guinea, ExxonMobil did engage in employing and training locals. The oil giant also procured services and products from the host country. But in almost every instance, ExxonMobil’s actions all had one strange thing in common; almost every local person or service used had strong ties to the Government of Equatorial Guinea.
(Kaieteurnews.com)