POPOVIĆ: NIS will save 20m EUR in 2007

- "Petroleum Industry of Serbia" (NIS) will save 20m EUR in 2007 thanks to the measures for reduction of expenses suggested by company "Shell Global Solutions" - said the Head of the Administrative Board of NIS Željko Popović.

He added that the contract stipulated that NIS should pay 20m EUR in the first year for the services of "Shell", whereas that expenditure should amount to 8-10m EUR in the following years.

(Željko Popović)

Engagement of that multinational oil company should become worthwhile in 2008. Namely, starting that year, according to Popović, NIS should save between 100 and 150m USD on annual basis.

Serbian oil company and "Shell" signed the Contract on collaboration and improvement of operations of NIS at the end of 2006. That contract should contribute to the rationalization of the operations, reduction of expenses and increase in the value of the company before privatization.