Sanctions Lifted, US Oil Focus Shifts from Iraq to Libya

The USA has lifted sanctions against Libya imposed in 1986. It became clear after George Bush"s recent statement. At a press conference in Washington, the US president called national companies to buy oil from Libya and urged them to do business in Libya, giving priority to oil contracts, reports RBÿ. This move is taken in response to Tripoli's cooperation on weapons of mass destruction following increasing pressure on Libya from the international community, reports Interfax.

The White House spokesman Scott McClellan said that Libya had taken significant steps to eliminate weapons of mass destruction and curtail support for terrorism, including the elimination of its nuclear program and all reported stockpiles of chemical weapons, disbandment of missile troops using Scud-C and updated Scud-B missiles. "Libya has set a standard that we hope other nations will emulate," McClellan said, reports RIA-Novosti Agency.

According to the BBC, the decision of the US administration will help resume diplomatic relations with Libya in full, and will also make Libyan students eligible to study in the USA. The United States will not object to Libya"s efforts to join the WTO. Besides, Washington allows US oil companies and banks to renew commercial business with Libya, reports Rosbalt News Agency.

For the first time since 1986 US companies will be able to open offices in Libya. Most likely that three American companies - Marathon Oil, ConocoPhillips and Occidental Petroleum - will soon renew ties with Tripoli. They had been key buyers of oil from Libya before 1986.

http://english.pravda.ru/world/20/91/368/12654_Libya.html

your headline implies that companies are leaving Iraq for Libya. While this will probably be the case, I missed it in the article.