TRIPOLI, Libya, Oct. 7 (UPI) -- Libya's state-controlled oil company said reports that London-listed Heritage Oil has gained a significant foothold in the country weren't correct.
Ahmed al-Taghdi, director of international cooperation at Libya's National Oil Co., was quoted by The Independent newspaper in London as saying his company blocked this week's acquisition of a domestic operator by Heritage.
"I have been instructed to deny these reports (of the acquisition)," he said.
Heritage announced Monday that it acquired a 51 percent interest in Sahara Oil Services Holding Ltd. through a $19.5 million deal. Heritage said that, through the acquisition, it would play a substantial role in the development of the oil and natural gas industry in Libya.
Heritage dismissed the comments from the NOC official by saying it didn't need its approval for the acquisition.
NOC had controlled much of the Libyan energy sector when the country was ruled by Moammar Gadhafi. When announcing the acquisition early this week, Heritage said it has set up a corporate presence in Benghazi, the former rebel capital.
Oil companies active in Libya said they expect oil production to return to post-war levels soon but add some of the energy infrastructure was damaged by conflict.
Libya, before the war, was producing around 1.3 million bpd.
