The INA-MOL consortium has terminated arbitration proceedings in its dispute with the government in Bosnia and Herzegovina's Federation over the takeover of the "Energopetrol" oil company and is willing to reach an out-of-court settlement, sources from the Croat-Bosniak entity have been quoted by the local media as saying.
Suvad Osmanagic, who negotiated with the consortium on behalf of the Federation's government, told the Dnevni Avaz daily in Sarajevo of Wednesday that agreement on seeking an out-of-court settlement had been reached 10 days ago.
In 2006, the INA-MOL consortium bought 67% in Energopetrol from the Federation's government.
The problem arose when some employees filed a complaint asking to be paid salaries in arrears from the period when Energopetrol was a state-run company.
The plaintiffs insisted on damages in the amount of 32.7 million euros, of which the consortium had not been aware when it had taken over the company.
This was the reason for launching the arbitration before the Secretariat of the ICC International Court of Arbitration at the headquarters of the International Chamber of Commerce (ICC) in Paris.
Osmanagic said that now only a confirmation in writing about the withdrawal from the arbitration is expected.