TRIPOLI, June 23 (Reuters) - Libya’s state-owned National Oil Company said on Monday it had signed five agreements with U.S.-based firm Occidental (OXY.N) and Austria oil and gas group OMV (OMVV.VI) to revise previous accords.
The agreements cut output shares of the two firms in oil operations and raise Libya’s earnings and reserves.
“This agreement came as a result of NOC’s negotiations to modify and improve previous accords,” NOC said in a statement posted in its Web site.
The accords included developing existing oil fields and expanding exploration programmes worth an investment totalling $12 billion over five years, NOC said.
NOC’s Chairman Shokri Ghanem said the agreements change stemmed from new market situation.
“This pattern of agreements is based on cutting sharply the foreign shares which decrease further when output rises,” he said.
“The improvement of accord conditions with these companies is on favour of Libya’s interests according to the changing circumstances of the oil market and the evolution of the contractual relations between oil producing countries and international oil firms,” he added. (Reporting by Salah Sarrar ((email@example.com; 212 37 720065 fax 212-37 722499))