PM Milanovic says in favour of hydrocarbon exploration in Adriatic

Prime Minister Zoran Milanovic said on Sunday that he supported hydrocarbon exploration in the Adriatic so that the actual situation with possible oil and gas reserves could be established, after which a decision could be made on whether or not to launch their exploitation.

Milanovic made the statement while visiting Vela Luka on the island of Korcula, when asked by a reporter if Croatia would scrap its plans for hydrocarbon exploration in the Adriatic, and the statement was carried by Croatian Radio.

"I have clearly told those who would like to hold referendums every week - against which I really have nothing - that we should nevertheless wait for a while and see if there are any gas reserves. So that if, for example, it is established that there is enough gas for the next five generations of Croats, we can say that we will not exploit it. First exploration and when we establish that we have gas, we will seal it all," said the PM.

A consortium headed by Marathon Oil and OMV in July backed out of oil exploration and exploitation in the Adriatic, informing the Croatian Hydrocarbon Agency that it would not sign a contract with the Croatian government due to an outstanding Croatian-Montenegrin border issue.

The government and the Hydrocarbon Agency have said that they will organise a second bidding round for hydrocarbon exploration and exploitation in September. Agency head Barbara Doric has confirmed that the project will continue and that contracts will be signed with the other interested companies.

Following a government proposal, the parliament in July turned down interpellations on the government's role in the implementation of laws and strategic documents regarding hydrocarbon exploration and exploitation in the Adriatic, submitted by the opposition HDZ and ORaH parties.

The ruling majority accepted the government's position that all conditions had been created for implementing a lawful and transparent procedure for hydrocarbon exploration and exploitation in Croatia designed to encourage investments in hydrocarbon exploration and exploitation.

(Text: Hina)

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