(Adds Shell comment, details)
DUBAI, Feb 10 (Reuters) - Iran's oil minister said foreignoil companies that owe his country billions of dollars arelikely to settle their debts in euros.
Greece's Hellenic Petroleum, Italy's Saras and Royal Dutch Shell owe Iran about $4billion which will be paid back in euros, Iranian Oil MinisterBijan Zanganeh was cited by the ministry's news agency Shana assaying on Tuesday.
Shell has said it was ready to settle its debts to Iran, butGreece's Hellenic Petroleum is having trouble to pay Iran backand "alternative methods are being worked out", Zanganeh said,according to Shana. He did not elaborate.
A Shell spokesman said: "We will settle our outstanding debtto NIOC (National Iranian Oil Co) as soon as we are lawfullyable to do so," declining to comment on whether the paymentwould be made in euros.
Zanganeh also said Emirates National Oil Co, Japan and theNetherlands had started settling their debts to Iran's centralbank.
Iran wants to recover tens of billions of dollars it is owedby buyers of its oil in euros and is billing new crude sales ineuros, too, looking to reduce its dependence on the U.S. dollarfollowing last month's sanctions relief.
A source at state-owned NIOC told Reuters last week thatIran will charge in euros for its recently signed oil contractswith firms including French oil and gas major Total,Spanish refiner Cepsa and Litasco, the trading arm ofRussia's Lukoil.
Safar-Ali Karamati, deputy director of international affairsfor marketing and crude oil operations at NIOC, has told Shanathat Iran favours the euro as the payment currency for its oilexport contracts. (Reporting by Rania El Gamal; Editing by Sandra Maler and DaleHudson)
