Croatia: Oil company Ina lost 25 MEUR on the gas sale

30. April 2014. / SEE Energy News

In the fourth, final competition round for the sale of 193 million cubic meters of gas placed in underground storage Okoli, HEP and Plinacro contacted the Underground gas storage, interested in a total of 109 million cubic meters.

HEP has made ​​an offer for 105 million cubic meters which will redeem from Ina Company Natural gas, whose gas is, for 0.08 cents per cubic meter, while the remaining four million cubic meters needs Plinacro for its technological needs.

HEP ‘s offer price in the latest round of sales is 75 percent less than the original requested price of Natural gas , 0.3 EUR per cubic meter , on which base in the INA calculated that due to the bargain sale of 109 million cubic meters would lose about 25 MEUR.

To remind, the Government made decision at the end of February this year that Ina Company Natural gas, which so far has supplied gas consumers, namely sold it to local distributors, ,take the job and assign it to HEP from 1st April. To Ina as a gas producer has been determined regulated price at which the gas must be sold to HEP at 0.22 EUR per cubic meter, while HEP must sold gas to local distributors at 0.31EUR per cubic meter.

Just before the government’s decision to award the contract to HEP, as well as to give him 70 percent of capacity in gas storage Okoli , all the capacity tenants should express interest in a share of this stock . According to unofficial information in in Ina, their Natural gas expressed interest in 40 percent of capacity, since at this point, 220 million cubic meters was in stock, while the rest – First Gas Society (PPD) and MET Croatia Energy Trade showed interest for the entire share capital.

However, as said Economy Minister Ivan Vrdoljak on Wednesday, Ina and Natural gas even last year knew that they will have to leave the gas business on 1st April, why they should nominate a maximum storage capacity in five years, and provide a space for the storage of 150 million cubic meters. As the minister’s statement unofficially was commented in the INA, even if they applied for the full capacity of 550 million cubic meters of Okoli, they would not get it because the government later decided to cede 70 percent of the warehouse to HEP.

Source; Serbia Energy See Desk

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