Refinery construction in Smederevo to start March 1st? - City agrees to settlement with Comico Oil

President of the Smederevo City Assembly Brance Stojanovic has notified Comico Oil of the city administration's decision to accept the company's offer for an out-of-court settlement regarding the land lease for refinery construction, said Comico Oil Deputy CEO Radomir Radivojevic.

The city administration of Smederevo has accepted the offer of the US-Dutch oil company to pay RSD 652 million for the lease of 113 hectares for the period of 99 years. Comico Oil is to pay that money until 31 January 2013.

The company is also warned that Smederevo will request from Comico Oil to pay a default interest for all days of delay.

Comico Oil will suggest to the City of Smederevo that the default interest should be given to charity, to those in need, said the deputy director general of that company.

Radivojevic expects the construction of oil refinery in Smederevo to begin on March 1st.