UPDATE 1-Panama sells Claro, Digicel mobile licenses

(Adds details, Digicel quote)

PANAMA CITY, May 7 (Reuters) - Panama awarded Irish-backed Digicel Panama and Claro Panama, a unit of billionaire Carlos Slim's America Movil, concessions to run new mobile phone networks on Wednesday.

Digicel, owned by Irish billionaire Denis O'Brien, bid $86 million for one license, beating a $73 million offer from Claro Panama.

After a third firm dropped out of the running, Claro was asked by the Panama government to equal Digicel's offer, which the America Movil unit (AMXL.MX) (AMX.N) did.

Panama had set the minimum price at $57 million.

The two firms will join the incumbents, Cable & Wireless Panama -- jointly owned by the state and Cable & Wireless Plc (CW.L) -- and Movistar Panama, a branch of Spain's Telefonica (TEF.MC).

Digicel Chief Executive Colm Delves told Reuters he is confident that Panama, with a population of around 3.2 million and an estimated 2.4 million existing mobile users, can offer sufficient market opportunities for the two newcomers.

"We will be going hell for leather to get this up and running. We can get (market share) by offering better value, more choices and better coverage, as we have done elsewhere," he said.

Digicel operations in Panama should be up and running by the end of this year, Delves said. (Reporting by Andrew Beatty, editing by Gerald E. McCormick)