High Speed 1 operator in talks with D.Bahn on access

BARCELONA, June 23 (Reuters) - The British state-owned operator of High Speed 1, the country's only high-speed railway, is in talks with Germany's Deutsche Bahn AG [DBN.UL] about granting access for train services, its chief executive said on Wednesday.

"We are discussing several options with them," Mark Bayley, head of London and Continental Railways (CLR), the owner of the High Speed 1 concession, told Reuters on the sidelines of the Transfin 2010 conference in Barcelona.

Deutsche Bahn has expressed interest in running direct rail connections between London and the continent following the liberalisation of the European passenger market which was introduced on Jan. 1. [ID:nLDE61A0K4]

Such a move could break the monopoly of rival Eurostar, which uses High Speed 1, a 110-km line linking central London to the Channel Tunnel, and buoy the fortunes of Eurotunnel (GETP.PA), the Channel Tunnel operator, which would also have to provide access for such services to run. [ID:nLDE63J225]

Earlier this week the British government launched the sale of HS1 Ltd, which has a 30-year concession to run the line and stations. People familiar with the matter have previously told Reuters High Speed 1 could fetch 1.5 billion pounds ($2.24 billion). [ID:nLDE65K19A]

"High Speed 1 will not be sold unless the price is right," Baley said, without commenting on what the right price would be. The sale process should be completed my March 31, 2011, he added. ($1=.6706 Pound) (Reporting by Greg Roumeliotis; Editing by Jon Loades-Carter)