Libya severs economic ties with Italy over NATO involvement

09:49, July 15, 2011      

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Libyan Prime Minister Baghdadi al- Mahmudi said on Thursday his country severed economic ties, especially in the oil field, with Italy over its military participation into the NATO-led military intervention against the regime of embattled leader Muammar Gaddafi.

The government of Gaddafi has halted all cooperation with Italian energy firm ENI, he said in a press conference. The premier slammed Italy over breaching a 2008 non-aggression pact with Libya.

He welcomed the return of U.S. oil firms because "Washington is not taking a direct role in the NATO bombing of Libya."

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