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Gold/Mining/Energy : Lundin Oil (LOILY, LOILB Sweden) -- Ignore unavailable to you. Want to Upgrade?

To: Razorbak who wrote (1798)	8/19/2000 11:15:46 AM
From: Timelord	Respond to of 2742

Razor: Ah yes, timing is everything! Alex

To: Razorbak who wrote (1798)	8/19/2000 12:56:19 PM
From: Tomas	Respond to of 2742

Lundin Teams With Edison In Libya - Middle East Economic Digest, August 18 Sweden's Lundin Oil has announced it will bid in partnership with Italy's Edison Gas for blocks under offer in the new National Oil Corporation (NOC) licensing round. An agreement was signed with the Italian company in early August. "This is a very simple business agreement," says an official at Lundin. "It allows us to utilise our respective contacts in the market." An NOC prerequisite in bids for the new round is that operators must fulfil at least 50 per cent of the concession commitment before diluting its interests. This means that smaller companies seeking partners need to team up before bidding. "It does not surprise me that Lundin would want to find a partner," says a locally-based oil executive. "Libya's strong connection with Italy makes Edison a good choice." NOC presented the details of the new licensing round to international companies at a meeting in May (MEED 19:5:00). The process moved into a higher gear in mid-July when companies were invited to prequalify for three concession packages, covering a total of 14 blocks (MEED 4:8:00). NOC has opened its data rooms and expects to award the packages by the end of the year. Lundin says it is carrying out a joint study with Edison of the offer areas. "We are in the process of deciding when and what we will bid for," says a company official. Lundin, which had total turnover of $80 million-90 million in 1999, is the sole operator of the En Naga North and West oil field. Production from the block is expected to start up in the first quarter of 2001 at an initial rate of 16,500 barrels a day (MEED 14:4:00). Edison, part of the Montedison Group, imports Libyan gas but has no upstream operations in Libya as yet.