NOC assets in France at risk of seizure over €844m debt claims

Assets belonging to Libya's National Oil Corporation (NOC) in France are at risk of seizure by creditors seeking to recover approximately €844 million owed by Libya, according to a report by Africa Intelligence.

The report said Kuwait's Al Kharafi Group has obtained court approval to seize rights linked to a joint venture between the NOC and TotalEnergies. A French court ruled in 2022 that the NOC constitutes an extension of the Libyan state, opening the way for creditors to enforce judgments against its assets in France.

In July, Al Kharafi obtained approval to seize the NOC's rights in the joint venture, alongside separate seizure proceedings targeting financial receivables owed to the corporation.

According to the report, Al Kharafi turned to NOC assets after being unable to seize frozen assets belonging to the Libyan Investment Authority, including the Fnac building in Paris, due to a requirement for approval from the French Treasury. The NOC challenged the seizure proceedings, but a French enforcement judge rejected its objections, citing in particular the corporation's lack of functional independence from the Libyan state.