Japan's AOC delays start of N. Sea oil production

TOKYO, June 23 (Reuters) - Japanese oil firm AOC Holdings (5017.T) said on Tuesday it would delay the start of oil production from the Yme oil field in the Norwegian sector of the North Sea to 2010 from the October-December quarter.

The move takes into account a delay in the manufacture and installation of an offshore production and storage facility, the company said in a statement. AOC, which has a 10 percent stake in the field, said the delay would have little impact on its earnings for this business year.

Peak production is estimated at 40,000 barrels per day, and output is expected to average about 25,000 bpd in the first four years.

Operator Talisman Energy (TLM.TO) of Canada and its partners are redeveloping the Yme fields, which halted production in the early 2000s, using new recovery technology such as gas injection processes to draw out oil. (Reporting by Osamu Tsukimori; Editing by Chris Gallagher)