Libya Asks Oxy for Help

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The African country of Libya is seeking help from Occidental Petroleum Corp. in an effort to increase the output of two of its oldest oil fields, Bloomberg News reports.


Libya, which holds the continent’s largest crude-oil reserves, is also seeking the help of Austria’s OMV AG to enhance the performance of its Nafoora and 103 A-D fields in the oil-rich central region of Sirte.


The output of the two fields has declined, according to Bloomberg, since the U.S. withdrew its investments in 1986 from the North African state amid accusations that the country’s regime was supporting terrorism. The U.S. gradually began lifting sanctions after the country began a rapprochement with the West following the Sept. 11, 2001 attacks on the World Trade Center.


Libya said it hopes the assistance from Westwood-based Occidental and OMV will allow it to raise daily production to 3 million barrels by 2010, up from 1.7 million barrels per day.


Shares in Occidental were up $1.01, or 2.3 percent, to $44.62 in midday trading.

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