Croatian
oil and gas company INA, said on Wednesday that it has received a
verdict from the country's High Administrative Court, which restores the
validity of its Drava licence for mineral resource exploration.
The
licence was revoked by the economy ministry in 2011.
Although the Drava
exploration licence has once again become valid with this verdict, the deadline
for exploration activities expired at the end of 2014, INA said in a filing to
the Zagreb bourse.
In addition, there is also a significant overlap of
the Drava concession area with blocks currently covered by an ongoing government
tender for onshore oil and gas exploration, INA added.
In July, Croatia
called an onshore oil and gas exploration tender in the country's Slavonia
region, covering approximately 15,000 sq km.
Prior to starting any
exploration activities, INA said it will request that the validity of the
exploration licence is extended for the period from its revocation until the
High Administrative Court handed down its verdict.
Hungary's MOL owns
49.08% of INA and the Croatian government controls a further 44.84%. In
September 2013, the two sides launched talks to renegotiate the terms for the
company's management.
In a separate statement on Wednesday, Croatian
economy minister Ivan Vrdoljak said he has sent a letter to INA's management,
seeking explanation for the company's business moves, especially regarding the
future of its domestic refining operations.
"From the people
responsible I am seeking an explanation as to why only MOL's interests are being
protected and why is this strategic for Croatia company treated as a subsidiary
of MOL," the official said.
Earlier this month, INA temporarily idled its
Sisak refinery due to the depletion of domestic crude oil stocks but said there
were no plans to shut down the refinery permanently or cut jobs.
The
Sisak refinery - one of two operated by INA, has a nominal crude distillation
capacity of 2.2 million t per year. INA's second refinery is located in
Rijeka.
The restart of production at the Sisak refinery will depend on
the external environment, INA said at the time, adding that, in the meantime,
production will be concentrated in Rijeka where refining operations are planned
to continue in the first half of February.
INA has exploration and
production operations in Croatia, Africa and the Middle East and operates a
filling station network on its home market and in neighboring countries.