The Plinacro gas pipeline operator has received the first grant installment from the Connecting Europe Facility to carry out preparatory activities related to the LNG pipeline Zlobin-Bosiljevo-Sisak-Kozarac-Slobodnica, amounting to slightly less than one million euros, which is 40% of the total grant amounting to EUR 2.25 million, Plinacro said on Thursday.

Plinacro was awarded the 2.25 million euro grant by the CEF, a fund intended for infrastructure projects related to transport, telecommunications and energy, in July this year.

The Zlobin-Bosiljevo-Sisak-Kozarac-Slobodnica project is related to the construction of the main dispatch pipeline for liquefied natural gas along that route.

The grant for the project was recently officialised with the signing of a grant agreement by Plinacro and the Innovation and Networks Executive Agency (INEA), which signed the document on behalf of the European Commission. The first grant installment was paid immediately upon the signing of the agreement and the remainder will be paid upon the completion of preparatory activities, in the first half of 2018, Plinacro said.

The CEF grant is to cover half the cost of preparatory activities related to the gas pipeline project, namely its pre-investment stage.

The gas pipeline is expected to be a part of a Baltic-Adriatic gas corridor which would link the Polish and Croatian LNG terminals. It is crucial for a reliable and secure supply of natural gas to countries in the wider region, Plinacro said.

The gas pipeline would connect to the existing interconnection Croatia-Hungary at Slobodnica, in the eastern Brod-Posavina County, and to planned interconnections with Serbia (Slobodnica-Sotin-Backo Novo Selo) and Bosnia and Herzegovina (Slobodnica-Brod-Zenica). Without this gas pipeline, it would be impossible to transport gas from LNG terminals to said countries, via Hungary further to Slovakia and Ukraine, and via Serbia to Romania and Bulgaria, Plinacro said.

The project is estimated at some EUR 370 million. Its total annual capacity will be 10 billion cubic metres of gas and its first phase (with the capacity of 4.6 billion cubic metres) is expected to be completed in 2019, Plinacro said.

Related stories

Latest news

Syrian opposition rules out future role for President al-Assad

The Syrian opposition said Friday it would not accept any role for President Bashar al-Assad in the future of the war-torn country, reacting to a recent US shift saying that removing al-Assad is no longer a priority for Washington.

Russian Army integrates breakaway forces of Georgian province

Parts of the small fighting forces of the Georgian breakaway province of South Ossetia have been placed under Russian military control, Russian Defence Minister Sergei Shoigu said on Friday.

Czech Republic's Pilsner Urquell beer is now Japanese

Japanese brewing company Asahi completed its takeover of the Czech brewery Pilsner Urquell on Friday, Asahi said in a statement.

Judge approves 25-million-dollar settlement of Trump University case

A US district judge on Friday approved a 25-million-dollar settlement of lawsuits and state fraud allegations against Trump University, the US president's now-defunct business venture.

Former Thai premier Thaksin to junta on reconciliation: 'Cut me out'

Former Thai prime minister Thaksin Shinawatra on Friday announced that he is not interested in the junta-led reconciliation process, three days after the junta handed him a half-a-billion-dollar tax bill for his past business deal.

Dalic: We welcome possible deal between Agrokor and banks

The government welcomes the possibility of an agreement being concluded between the Agrokor food company and creditor banks, and the bill on vitally important companies is not a fallback plan but the result of the government's care for the overall economic and financial stability of Croatia, Deputy Prime Minister and Minister of Economy Martina Dalic told a press conference in Zagreb on Friday.

Croatia, China sign action plan for cooperation in agriculture

The Croatian and Chinese ministries of agriculture on Friday signed an action plan for cooperation in the field of agriculture for the period 2017-2018, the Croatian ministry said in a statement.

ZSE indices up, Agrokor shares in focus of investor interest

The Zagreb Stock Exchange (ZSE) indices on Friday rose by more than 1.8%, with stocks of the Agrokor food and retail concern being in the focus of investor interest again.

Berlin police defend handling of Berlin market attacker

Berlin police defended themselves on Friday against accusations that they stopped surveillance on Berlin Christmas market attacker despite knowing in June 2016 he was dangerous.

Croatia, creditors tailor emergency measures to save tottering giant

Croatia's tottering retail and food giant Agrokor reached an agreement with its creditors, putting its debts standby and allowing it to continue working during emergency restructuring, the Croatian branch of Austria's Erste Bank said Friday.

Agrokor's creditors say standstill agreement to go into force today

A standstill agreement regarding the Agrokor concern's existing financial obligations to banks will take effect on Friday, additional capital will be injected into the concern in the coming days and the concern will be actively restructured, which includes a change of its management, it was said on Friday after a meeting between Agrokor's suppliers and creditor banks.

Palestinians, UN slam Israel's new settlement plan

Palestinians, Israeli activists and the UN lambasted the government of Israeli Prime Minister Benjamin Netanyahu on Friday, a day after it gave the go-ahead for the first new West Bank settlement in a quarter of a century.

South Sudan rebels release three abducted foreign oil workers

South Sudanese rebels have released three foreign engineers they abducted in early March in the oil-rich Upper Nile region, Foreign Affairs Ministry official Mawein Makol Arik said on Friday.

Turkish opposition: Imprisoned party chief has gone on hunger strike

The head of Turkey's pro-Kurdish opposition party has launched a hunger strike from prison.

European leagues threaten Champions League schedule clashes

The European Professional Football Leagues (EPFL) on Friday threatened schedule clashes on Champions League matchdays in an ongoing dispute with the governing body UEFA.

Danish court revokes citizenship of IS volunteer

A Danish appellate court on Friday stripped a man of his Danish citizenship for volunteering to fight for the extremist Islamic State in Syria.

Banks and Agrokor agree on key elements of standstill agreement

Member banks of the coordinating committee of financial creditors and representatives of the Agrokor food company have in principle agreed on key elements of a standstill agreement, which is expected to be signed later today, announcing changes in the company's management team, Erste Bank said in a statement on Friday afternoon.

Syrian man on trial in Sweden; mosque attack labelled terrorism

A Syrian man went on trial Friday in the southern Swedish city of Malmo, charged with terrorism and arson after an attack last year on a building used as an assembly hall by Shiite Muslims.