Russians and "Srbijagas" to take over concession for construction of gas pipeline through Republic of Srpska - gas pipeline 460 km long to be finished prior to year 2012

- Construction of gas pipeline "Sava" through the north of Republic of Srpska prior to year 2012 is more and more likely to happen because Russian companies and Novi Sad-based "Srbijagas" intend to participate in its financing - the concessionaire of that project told "Nezavisne novine".

Radomir Nježić, the co-owner of company "Slavija internacional" from Laktaši, which has the concession for construction of gas pipeline "Sava", confirmed that the negotiations with the interested investors on participation in implementation of that project were close to end.

- The talks about the change in the ownership structure of "Slavija internacional", which would involve Russian companies and "Srbijagas", have been intensified and will be finished very soon - said Nježić.

In that way, in his opinion, realization of the project for construction of the main gas pipeline about 460 km long, which would stretch from the border with Serbia, via Bijeljina, to Novi Grad/Bosanski Novi, will be much easier.

- We want to introduce gas to RS as soon as possible, which can be achieved with the help of our partners who will practically connect us to gas pipeline "Južni tok" by means of the route from Russia to Italy - Nježić pointed out.

He also pointed out that, on the occasion of signing of the contract for formation of the joint venture between "Srbijagas" and Russian "Gazprom" on October 20th in Belgrade, which should take place in the presence of the President of Russia, Dmitrij Medvedev, the details of long-term delivery of about 1 billion cubic meters of gas a year to RS through pipeline "Sava" would also be determined. As he explained, consumers and industry in RS will get required quantity of gas from the storage in Banatski Dvor before the gas pipeline is completed, which is expected in 2012.

People in the Ministry of Industry, Energy and Mining of RS point out that the introduction of gas to RS is one of the priorities of the entity government, and that is the reason why the elaboration of new study on development of gas sector has been suggested.

- The concept for introduction of gas to RS, which is included in the previous study that was elaborated in 1998, must be changed because RS will be using gas pipelines "Sava" and "Južni tok" instead of "Nabucco" - Dragana Kalabić, the Assistant to the Minister, pointed out.

She said that the new study would foresee future consumers, the most significant of which would be the industrial capacities that would be using gas, such as refineries in Brod and Modriča, the planned third block of the steam power plan in Ugljevik, and the heating plant in Banjaluka.

Natural gas in RS, as Ms. Kalabić explains, should gradually replace fossil fuels, which will lead to significant financial savings and respecting of EU's environmental requests concerning reduction of emission of carbon-dioxide.

Dragana Kalabić confirmed that the contract on conversion of claims of "Srbijagas" into the stocks of Pale-based "Gas promet" would be signed by the end of October.

In that way, the Novi Sad company will take over 40% of capital of "Gas promet" from RS and, thus, become its largest stockholder, while the Share Fund of RS will keep 25% of stocks in its possession. Other major stockholders will be "Aktiva invest fond" with 16%, the Pension and Disability Insurance Fund of RS with 10%, and the Restitution Fund of RS with the share of 5%.