* Study shows patients treated with Tarceva live longer
* Lung cancer most common cancer worldwide
* Positions drug well versus competitor
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ZURICH, July 13 (Reuters) - Roche Holding AG's Tarceva cancer drug improved the survival of patients with advanced lung cancer when used immediately after initial chemotherapy, the Swiss group said on Monday.
The Phase III SATURN study showed Tarceva improves overall survival when used immediately after initial chemotherapy in patients with advanced lung cancer, the group said.
The news helps the position of Tarceva, which is co-marketed by U.S. biotech company OSI Pharmaceuticals, against Eli Lilly's Alimta and supports filing for approval in the United States and European Union, Sal Oppenheim analysts said.
"We have made no changes to our estimates, but this new data reinforces our view of Tarceva's approval and commercial potential," they said in a note.
Roche stock rose 0.1 percent to 145.60 Swiss francs by 1146 GMT, versus a 0.1 percent drop in the DJ Stoxx European health care index.
Treating patients immediately following first-line chemotherapy versus waiting for the cancer to grow or spread before giving additional treatment represents a new approach in advanced non-small cell lung cancer (NSCLC), Roche said.
Tarceva is already approved to treat pancreatic cancer in the United States and EU.
Lung cancer is the most common cancer worldwide with 1.5 million new cases annually and NSCLC accounts for almost 85 percent of all lung cancers, it said. (Reporting by Sven Egenter and Sam Cage; Editing by Mike Nesbit/Will Waterman)