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U.S. firms eye Libya for big contracts

Major U.S. companies are jockeying for tens of billions of dollars in infrastructure and other big projects in oil-rich Libya, as ties between the former foes warm.

Posted: Friday, January 4, 2008, 10:45 (GMT)
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Major U.S. companies are jockeying for tens of billions of dollars in infrastructure and other big projects in oil-rich Libya, as ties between the former foes warm.

Boeing Co, the top U.S. exporter, hopes to expand on an initial sale of three 737 airliners to Buraq Air, Libya's first private airline. Boeing began delivering those aircraft in October, 2006.

Libyan Airlines, the state-owned carrier, "is a good prospect for future business, as their aging fleet will soon be in need of replacement aircraft," said Peter Conte, a spokesman for Boeing commercial planes. He said the company would "actively compete" for Libyan business.

Lockheed Martin Corp, the Pentagon's No. 1 supplier, joined Boeing and about 20 other U.S. companies last month on a trip to Libya sponsored by the National U.S.-Arab Chamber of Commerce.

The purpose was to explore business opportunities ranging from airport upgrades to border-security work and other infrastructure projects, said Thomas Jurkowsky, a Lockheed spokesman.

Citing information-technology know-how and experience in putting together big jobs, Lockheed said it also could offer logistics, engineering and operation and maintenance services.

"The opportunities to leverage that expertise in Libya cannot be overlooked," said Jurkowsky. "We welcomed the opportunity to explore the commercial opportunities that exist in that country."

Lockheed, Boeing and Raytheon, also on the trip, are no doubt eyeing longer-term opportunities to sell billions of dollars of advanced arms to Libya, which entered good U.S. graces after giving up weapons of mass destruction in 2003.



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