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Tunisia: Winstar stops oil production in the South

Oil Company “Winstar Resources” has announced that the production of 1,100 barrels of tons oil equivalent per day from its concessions Sanhrar, Chouech Essaida and Ech Chouech has stopped since January 16, 2013 due to security issues related to labor disputes.

Strikers, members of the Tunisian General Labor Union-Tataouine (“UGTT-Tataouine”), observed a three-day strike on January 16, 2013.

Following the advice of the legal counsel of Winstar, the Company has ordered the evacuation of all personnel from the three concessions.

Disruptions caused by labor disputes delayed the return to production of a number of wells.

As it had indicated on November 8, 2012, the Company believes it is capable of producing between 2,000 and 2,900 barrels following workover operations in the five wells which are currently suspended.

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