UPDATE 2-Shell Gabon concedes on overtime, hopes to end strike

(Adds Total, Perenco operations affected, byline)

By Antoine Lawson

LIBREVILLE, March 27 (Reuters) - Shell's (RDSa.L: Quote, Profile, Research) Gabonese subsidiary agreed on Thursday to union demands on overtime in a bid to end a strike that has halted its 60,000 barrels a day of crude output for the past week, the company said.

Shell Gabon's Managing Director Hans Bakker said union leaders were meeting on Thursday afternoon with Mining and Energy Minister Casimir Oye Mba, and he hoped they would soon reach a deal to end the strike.

The strike has also affected some production from France's Total Gabon (TOTF.PA: Quote, Profile, Research) and Perenco, which both pump oil through Shell's Gamba terminal.

Union demands regarding overtime centre on a regulation known as decree 208, which stipulates that any hours worked over 42 hours per week be paid at overtime rates.

Union leaders had also called for the resignation of Bakker and other executives, but he said there was "no question" of him quitting.

"Shell Gabon is committed to resolving the dispute as rapidly as possible by showing complete readiness to apply decree 208 so that production can resume," Bakker told reporters in Gabon's capital Libreville on Thursday.

"At the moment discussions are ongoing between the union leaders and the minister of mines, and we hope they will reach a conclusion rapidly," he said.