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Production Suspended By Oil Workers Strike in Gabon

03-27-2008

Royal Dutch Shell PLC said its oil production in Gabon has been suspended by a workers' strike which started last week. Gabon currently produces 250,000mb/d mainly from offshore blocks.

Shell is producing around 60,000 barrels of oil a day from the Rabi, Gamba/Ivinga/Totou and Toucan fields.

"Production from the Gamba/Ivinga/Totou fields has been shut-in since March 20, and from the Toucan and Rabi fields since March 21 as a result of the industrial action by some staff," a Shell spokesman said.

The oil terminal in Gamba has been shut down, affecting some of the production of Total SA and Perenco which both use the facility, he said.

The strike was triggered by a row between the oil workers and the government over a new employment decree that relates to pay and working conditions. Discussions are ongoing between the government and the unions to resolve the dispute.