Croatia gets seven bids for onshore exploration in Drava river basin

EBR Staff Writer Published 20 February 2015

Croatia has secured seven bids from international companies for onshore exploration of oil and gas in the northern Drava river basin.

The country's Economy Minister Ivan Vrdoljak was quoted by Reuters as saying that the tender process follow a licensing round for drilling in the Adriatic Sea.

As part of its aim to boost energy security and revive its recession-hit economy, the country intends to attract investors.

Although the names of the bidders were not disclosed following the closure of the tender process, the minister said the government was satisfied as the bids were submitted by serious companies.

"This is just the beginning. We have more potential for exploration in northern and central Croatia, particularly in the Dinarides (central mountain range)," the minister said.

According to state hydrocarbons agency director Barbara Doric, the licences are likely to be awarded by next two months.

Comprising six block areas with sizes between 2,100 and 2,600km2, the minister added that the companies had shown interest in all these blocks.

Last month, Croatia awarded licences for gas and oil exploration in the Adriatic, with exploration contracts likely to be inked in April. This is likely to see an investment of around $2.5bn over the next four years, the news agency reported.

Environmentalists are opposed to the oil drilling in the Adriatic region, claiming that it would hurt the environment as well as the tourism industry.

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Croatia gets seven bids for onshore exploration in Drava river basin