BHP Billiton to sell U.S. oil to overseas buyers

Nov 4 (Reuters) - BHP Billiton Ltd will sell processed condensate to overseas buyers from its distillation towers in South Texas, the company said in an emailed statement.

"We took the necessary time to thoroughly examine the issues involved and ensure that the processed condensate was eligible for export," the company said.

While the United States bans the export of crude oil - a legacy of the Arab oil embargoes in the 1970s - it does allow the export of refined products such as gasoline and diesel.

Exxon Mobil and other oil companies have been asking that the ban on U.S. crude exports be scrapped, saying it would spur job creation and boost energy security by encouraging new investment that lifts production.

Lawmakers in the oil drilling and refining heartland of Texas have been preparing for the prospect of crude oil exports from the state's major ports and assessing what it means for constituents. Already this year, the U.S. government has issued licenses to allow two companies to export condensate. (Reporting by Ankush Sharma in Bangalore)