"New Serbia-Russia plans in energy sector"

Serbian Minister of Energy and Mining Petar Škundrić and Russian Ambassador Aleksandr Konuzin addressed the issue of energy cooperation.

Izvor: Tanjug

Saturday, 02.10.2010.

12:32

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Serbian Minister of Energy and Mining Petar Skundric and Russian Ambassador Aleksandr Konuzin addressed the issue of energy cooperation. They said that the oil and natural gas arrangement between Serbia and Russia represents one of the cornerstones of the strategic partnership between the two countries, and announced big joint plans in the energy sector. "New Serbia-Russia plans in energy sector" Participating in the first celebration of the Oil and Gas Industry Workers Day, Skundric stressed that the strategy for oil and gas sector development was defined by the arrangement signed between Serbia and the Russian Federation. The EUR 570mn worth capital reconstruction of the Oil Industry of Serbia (NIS), now owned by Gazprom, is underway, and it is expected that investments in the oil industry will reach around EUR one billion in the next few years, Skundric said. The minister said that, besides the modernization of oil processing plants, the funds will be also be invested in exploration of new oil fields and in unconventional methods of natural gas exploitation, since geological research has shown that Serbia abounds in gas resources. According to him, the major gas industry project is the construction of the pan-European gas pipeline South Stream, and investments in the project, together with investments in the underground gas storage Banatski Dvor, should amount to EUR 1.4bn. Skundric recalled that the capacity of the South Stream pipeline through Serbia will be more than 40 billion cubic meters of gas, and announced that around EUR 400 to 600mn will soon be invested in the gasification of the parts of the country where gas has not yet been introduced. Konuzin said that Serbia and Russia have big plans for joint future activities in the energy sector and expressed the hope that the plans will be successfully completed. Konuzin said that it would be difficult to find a state in whose energy sector Russia invested so much as in Serbia's, which, he pointed out, brings benefits to both countries. Petar Skundric, Aleksandr Konuzin (Beta)

"New Serbia-Russia plans in energy sector"

Participating in the first celebration of the Oil and Gas Industry Workers Day, Škundrić stressed that the strategy for oil and gas sector development was defined by the arrangement signed between Serbia and the Russian Federation.

The EUR 570mn worth capital reconstruction of the Oil Industry of Serbia (NIS), now owned by Gazprom, is underway, and it is expected that investments in the oil industry will reach around EUR one billion in the next few years, Škundrić said.

The minister said that, besides the modernization of oil processing plants, the funds will be also be invested in exploration of new oil fields and in unconventional methods of natural gas exploitation, since geological research has shown that Serbia abounds in gas resources.

According to him, the major gas industry project is the construction of the pan-European gas pipeline South Stream, and investments in the project, together with investments in the underground gas storage Banatski Dvor, should amount to EUR 1.4bn.

Škundrić recalled that the capacity of the South Stream pipeline through Serbia will be more than 40 billion cubic meters of gas, and announced that around EUR 400 to 600mn will soon be invested in the gasification of the parts of the country where gas has not yet been introduced.

Konuzin said that Serbia and Russia have big plans for joint future activities in the energy sector and expressed the hope that the plans will be successfully completed.

Konuzin said that it would be difficult to find a state in whose energy sector Russia invested so much as in Serbia's, which, he pointed out, brings benefits to both countries.

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