Oil reserves are reported to go towards extinction

TIRANA, Dec 13 -ARMO company’s director, Halim Dariu explained for the media on Wednesday that the company has stopped providing local distributors with domestic oil because of very low reserve levels. His statement contradicts the Prime Ministers explanations that the blockade is due to the government concerns about the environment. This is not the first time ARMO prioritizes foreign importers over domestic demand. Dariu says that the current oil reserve is 8 million tons out of which 5 million are frozen under the government’s strategic security interest plan and cannot be traded. He remaining 3 million is to be provided to the agricultural and fisheries sector with preferential taxation treatment. A small amount is also to be provided to state institutions under a previous arrangement. ARMO has experienced several times problems which have led to its provisional closing down of operations. The energy crisis affects the operation in the drilling and processing unit because the irregular hours lead to technical problems. ARMO is soon to be privatized and the timing makes it more difficult for its managing executives to have the incentive of improving its situation. Controversy has risen over the feasible duration of operation given the current reserve levels. While Dariu has commented on 10 days, other sources say 3 months.