Mobil says it dropped operations in Libya

The Mobil Corporation announced it had terminated its operations in Libya and begun arbitration proceedings to recover profits lost as a result of actions by the Libyan government.

Mobil said that ''by unilaterally manipulating oil prices, taxes, and royalties over a period of years'' the Libyan government destroyed the economic value of concession agreements. Mobil's departure follows that of the Exxon Corporation by more than a year.