A BILLION DOLLAR DEAL

The conflict in Lybia has proved to be very profitable for the British oil firm Vitol who have supplied fuel and associated products to the rebels and traded oil on their behalf. The deal is estimated to be worth about $1 billion. "The deal with Vitol was said to have been masterminded by Alan Duncan, the former oil trader turned junior minister, who has close business links to the oil firm and was previously a director of one of its subsidiaries. Mr Duncan's private office received funding from the head of Vitol before the general election. Ian Taylor, the company's chief executive and a friend of Mr Duncan, has given more than £200,000 to the Conservatives. Vitol is thought to be the only oil firm to have traded with the rebels during the Libyan conflict. Oil industry sources said that other firms including BP, Shell and Glencore had not been approached over the deal. One well-placed source said this was "very surprising" because other companies would have been keen to be involved." (Daily Telegraph, 1 September) Of course, the other firms are unhappy with the deal and questions are likely to be raised in parliament. The enquiries are likely to be about how political donors were given the business, but no one will query the accepted fact that war and military conflict is often an excellent business opportunity. RD