Spain's Repsol in Libya to resume normal output

7th September 2011, Comments 0 comments

Spanish oil giant Repsol has sent staff to Libya to talk with the authorities about resuming normal production, a spokesman told AFP on Wednesday.

In February, Repsol halved its oil production in the country and evacuated all of its expatriate workers there because of the uprising against Moamer Kadhafi's 42-year rule.

The oil group, which has been in Libya since the 1970s, said it was in discussions with the National Transitional Council (NTC) in the eastern city of Benghazi.

"We have sent representatives to Benghazi to take part in meetings on the return to normal oil activity," Repsol spokesman Kristian Rix said.

"We intend to return to the country as soon as possible."

Other oil groups from various countries were taking part in the meetings, the spokesman said, though he was unable to say whether there was a single conference or a series of one-on-one talks.

Unlike Italian group Eni, he said Repsol has not signed an agreement with the NTC to resume its activities. But he added that such a deal was not a requirement.

Evacuated personnel were in Madrid and ready to return to Libya when the situation returned to normal, the spokesman said.

He noted that Repsol had already said that it could resume production within four weeks after returning but not at 100 percent.

Repsol had also sent experts to assess the status of oil installations, the spokesman said.

At the end of July, the group said the partial suspension of oil production from Libya had lowered net profit by 211 million euros.

Before the crisis, the Spanish group produced 340,000 barrels per day, or 40,000 bpd net after paying Libyan taxes in the form of the majority of its output. The net output in Libya accounted for 3.8 percent of Repsol's worldwide production.

© 2011 AFP

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