Saras Sees Libya Oil Export Situation Lasting Only Few Weeks

Saras SpA (SRS.MI), Italy's No. 2 independent refiner by capacity, doesn't expect the disruption of Libyan oil from the unrest to last more than a few weeks, a sufficient enough time to be covered by the company's stockpiles, General Manager Dario Scaffardi said Friday.

Libya's oil exports aren't blocked but partially not active, Scaffardi said on a conference call to comment fourth-quarter results. The problem is that there are very few people at the terminals due to the turmoil.

Saras imported about 35% to 40% of its crude from Libya in 2010.

The company is looking at crude from Caspian countries such as Kazakhstan and Azerbaijan to replace Libyan crude, Scaffardi said.

The company isn't concerned about supplies but the volatility of the price of oil, Scaffardi said.

"We are not worried about not getting supplies of oil but about overpaying for it," he said.

Thursday, oil prices jumped to levels not seen in more than two years on concerns about supply disruption before assurance from Saudi Arabia and the International Energy Agency eased the market's fears.

Company website: http://www.saras.it

-By Liam Moloney, Dow Jones Newswires; [phone]; [e-mail]