Saturday, August 15, 2020

Croatian Government News

Croatia Awards Licence to INA for Gas and Oil Exploration

The Croatian government said on Thursday it had awarded a licence to energy group INA for gas and oil exploration and exploitation on one block in the country's central and mountainous southern area.It gave no financial details.Earlier this year Croatia received one bid from INA for exploration in one block in the Dinarides region in a tender offering four blocks stretching over an area of 12,134 square km (4,685 square miles)..The block awarded to INA covers an area of 2…

Croatia Acts to Cut Red Tape for FSRU Terminal Project

© Wojciech Wrzesien / Adobe Stock

The Croatian government proposed a special law on Thursday to facilitate the construction of an EU-backed liquefied natural gas (LNG) terminal in the northern Adriatic.The floating terminal is expected to start operations in 2020.The European Union wants the facility to help diversify sources of supply and reduce dependence on Russian gas, most notably for countries in central Europe.Brussels will invest 101.4 million euros ($121 million)…

Croatia to Cut Household Gas Prices by 18% from April

Croatia has reduced annual natural gas prices for households by an average 18 percent from April due to a fall in wholesale prices on the European market, it said on Wednesday. The reduction, already cleared by the country's energy regulator, also means Croatian oil and gas group INA is required to lower the prices of gas it produces locally and then sells to power board HEP. The government has also set the price at which HEP must sell gas to household suppliers.

EU Leaders Sign Letter Objecting to Nord Stream-2 Gas Link

Eight EU governments have signed a letter objecting to the Nord Stream-2 project that would double the amount of gas shipped directly from Russia to Germany, according to a document seen by Reuters. The letter, addressed to European Commission President Jean-Claude Juncker, reignites a debate that has pitched dominant EU member Germany against central and eastern European nations. If the project goes ahead, Nord Stream-2 would generate "potentially destabilising geopolitical consequences", the letter says.

Croatia Draws 7 Bids for Krk LNG Terminal

Croatia has received seven bids to build a liquefied natural gas (LNG) terminal on the island of Krk in the northern Adriatic, LNG Croatia said on Monday. EU member Croatia is looking to reduce its reliance on Russian gas imports. The proposed terminal would be able to receive, store and re-gasify LNG, opening Croatia up to imports from LNG suppliers such as Qatar. The project, with a nominal capacity of 6 billion cubic metres, is expected to require investment of around 600 million euros ($655.50 million).

Croatian Energy Group INA Signs $300 mln Loan

Croatian oil and gas group INA has secured a $300 million loan for general financing purposes with seven international and local banks, the company said in a statement on Wednesday. The revolving loan has a three-year maturity with an option for extension for up to two years, INA said. "The loan conditions are much better than those for a loan taken in 2013," it added, withouth giving details. INA's biggest shareholder is Hungarian energy group MOL with a stake close to 50 percent.

MOL Wants Change in Croatia Before Taking Bigger INA Stake

Oil group MOL on Friday publicly raised the prospect of increasing its stake in Croatian peer INA for the first time in years but said it would not do so until Zagreb adopts a more investor-friendly approach to foreign firms. MOL and INA have locked horns for years about control of the Croatian oil company, in which MOL owns 49 percent. MOL also has certain management controls at INA under an agreement with the Croatian state, which holds 45 percent.

LNG - Player in the European Gas Game

History repeats itself. In January 1959 the first LNG vessel shipped out from Lake Charles, La. to deliver its trial cargo to Europe. Soon, another important LNG shipment is going to leave the Gulf of Mexico. This time, the destination is Lithuania – one of the first deliveries from Cheniere’s Sabine Pass LNG export terminal will be sent to Port of Klaipėda in January 2016. Driven by significantly higher natural gas prices compared within Western-Europe…

Croatia's LNG Hrvatska Extends Bid Deadline for LNG Terminal

Croatian liquefied natural gas (LNG) terminal developer LNG Hrvatska has extended a deadline for investors to express interest in building a terminal in the northern Adriatic to Dec. 31 as part of the country's drive for energy independence. The company gave no reason for the deferral and did not say what level of interest it had received so far. The previous deadline was Dec 15. The terminal on the island of Krk is also part…

EU Refiners Seek Efficiencies in Tough Times

Europe's oil refiners are adopting the wily and flexible ways of traders to ensure survival as the sector faces further shrinkage, delegates at an industry conference said. Hard times have pushed them to pick and choose from a wider range of crudes, ferry feedstock between their own refineries to get the optimal mix of products and seek out deeper discounts from suppliers. "Commercial operations need to be totally, fully integrated with the technical aspects…

Croatia Seeks Investors to Develop Adriatic LNG Terminal

Croatia's power utility HEP and gas transmission system operator Plinacro on Tuesday invited investors to express interest in building a liquefied natural gas (LNG) terminal in the northern Adriatic, part of the country's drive for energy independence. The terminal on the island of Krk is also part of Europe's wider efforts to reduce its reliance on Russian energy supplies and has gained new importance following the cancellation of the South Stream project.

Croatia Awards 10 Adriatic Oil & Gas Licenses

OMV, Marathon Oil consortium wins seven licenses; Croatia hopes exploration will help drive growth. A consortium of Houston-based Marathon Oil and Austria's OMV won seven of 10 licenses awarded on Friday to explore for oil and gas off Croatia's Adriatic coast, part of a bid by the ex-Yugoslav republic to become a regional energy hub. Two licenses went to INA, which is owned by the Croatian government and Hungary's MOL, and one was awarded to a consortium made up of Italy's ENI and London-based Medoilgas.

US Offers Mediators for INA-MOL Energy Row

Croatia government, MOL at odds over INA for years; USA proposes international mediators, cites energy concerns. Both sides launched arbitration suits last year. Washington has offered to help resolve a long running dispute between Croatia and Hungary's MOL over their jointly-owned oil firm INA by proposing international mediators to steer the talks on INA's future. "We have given to the Croatian government and to MOL a list of four names of people of various nationalities, who are experts at mediation ...

Croatia Seeks Talks Regarding INA, MOL Partnership

Croatia hopes to continue talks with Hungary's oil and gas group MOL over their troubled partnership in Croatia's energy firm INA in September, Economy Minister Ivan Vrdoljak said on Monday. He was speaking to state television from Paris where he was attending the start of an international arbitration procedure at which Croatia is trying to annul the current shareholder agreement between Zagreb and MOL. The procedure began before the International Chamber of Commerce.

Croatia Shows No Sign of Interest in MOL's INA Stake

Hungarian oil and gas group MOL has not received any official notification from the Croatian government indicating that Zagreb would want to purchase MOL's stake in Croatian energy firm INA, MOL said on Friday. "However, based on its authorization the Executive Board has also started the preparations for the sale of MOL's stake in INA in order to be able to maximize the value of its investment," MOL added. Earlier on Friday,…

INA Warns of Losses Over Forced Gas Sale

Photo courtesy INA

Croatian oil and gas company INA said its gas trading arm could lose up to 350 million kuna ($63.7 million) due to a forced sale of its reserves in the Croatian gas storage facility. In February, the government named state-owned power board HEP to replace INA's gas trading company, Prirodni Plin, as the gas supplier to local firms and municipalities, which then sell gas to households. This obliges INA to free its storage capacity for HEP.