‘Oil palm’ project in Falklands lands to cost $500 million
The controversial Falklands Oil and Gas (FGA) land development project in the Falklands Islands is expected to cost about $500m, according to the company’s management.
According to the report by Falklands Management, the project will be financed by the state-owned oil giant of Norway, but it is not yet clear how much money will be allocated to the project.
The Falklands Development Agency (FDA), which has been tasked with overseeing the project, had reported that the project would cost $1.8bn.
However, the FGA had been unable to disclose how much it had spent on the project since its inception in 2009.
The agency had said the project had been approved by the Minister of Foreign Affairs and Trade (Gael Fiske) and had been signed off by the Governor of the Falkland Islands, who was a member of the National Assembly (NAS).
The project has been controversial since the government of Prime Minister Juan Carlos Varela announced in November last year that the area, which is claimed by Argentina, has become an independent nation.
The decision came after the US, which has claimed sovereignty over the islands, began drilling exploratory wells.
The government of the newly independent state, however, has said the islands are still part of Argentina and it is seeking to continue its occupation of the islands.
The Argentine government has also refused to recognize the sovereignty of the Islands, which are under the jurisdiction of Argentina’s High Court.
The FGA has said it will conduct further consultations to determine the cost of the project before deciding whether to proceed with the project in 2018.
The report comes after an announcement in December last year by FGA that the land of the area was an Argentine territory, with Argentina claiming it as part of its territory and the Falkish government saying that the government had no jurisdiction over the territory.
The islands, which have been in the hands of Argentina since 1982, were occupied by Argentina for several decades until 1994.
Argentina has been trying to reclaim the islands for itself.
In April, a judge ruled that the islanders had the right to determine their own future.