Naftna Industrija Srbije AD said its joint venture in Bosnia-Herzegovina with OAO Zarubezhneft’s Neftegazinkor unit is to start oil and gas exploration after local authorities gave it a 28-year concession.
The concession applies to the territory of Republika Srpska, the Serb-run part of Bosnia-Herzegovina, whose government agreed that Jadran-Naftagas d.o.o., the locally registered joint venture, may explore oil and gas for three years and exploit any commercial finds in 25 following years, NIS said in an e-mailed statement today.
“This practically marks the beginning of oil and gas exploration in Republika Srpska which, we hope, will result in finding commercial quantities of carbohydrates in the area,” the company said.
The joint venture in Republika Srpska is 66 percent owned by NIS and 34 percent by Neftegazinkor. NIS is majority-owned by Gazprom Neft.