Norway Willing to Answer about Statoil's Now-Cancelled Plan

September 27, 2003 - 0:0
OSLO (Reuters) - The reputation of Norwegian oil and gas group Statoil has been dented by an issue linked to Iran but Norway's biggest company has suffered no irreparable damage, Norway's Oil Minister said on Friday.

Einar Steensnaes also said he was also willing to answer any questions from Tehran about Statoil's now-cancelled plan to pay a London-based consultancy $15.2 million for advice on Iran. Norwegian police are probing the deal as a possible bribe to win contracts.

"There has been no doubt that the reputation and the credibility of the company have been affected, not least in Norway," he told Reuters. Both chief executive Olav Fjell and chairman Leif Terje Loeddesoel quit this week over the scandal.

"But there has not been any irreparable damage to the company's reputation. The quicker we get a new leadership into place the easier it will be to restore trust," he said.

Meanwhile, Statoil said on Friday that the U.S. Securities and Exchange Commission (SEC) had launched an "informal inquiry" into a consultancy deal linked to Iran.

"It has issued a request for Statoil to produce certain documents in connection with this, and the group intends to cooperate fully with the inquiry," Statoil said in a statement.

The scandal already toppled Statoil's chief executive Olav Fjell and chairman Leif Terje Loeddesoel earlier this week.