According to BH Gas director Almir Becarevic, Bosnia wants to launch the construction of a pipeline from Slavonski Brod in Croatia via Bosanski Brod, Zenica, Sarajevo and Mostar in Bosnia to Ploce in southern Croatia, along the 5C road corridor. Such a pipeline was already considered in 1990 but was stopped because of the war which then broke out.
Ina Naftaplin and BH Gas leaders maintain the supply route will be cost-effective because the demand for natural gas is expected to increase considerably in Bosnia, where currently it is 380 million square metres annually. The demand is expected to grow to 650 million by 2009 and to 1.5 billion square metres in 2015.
The first section of the pipeline, from Bosanski Brod to Zenica, is estimated at US$30-40 million, while the second, from Zenica to Mostar, is expected to be more expensive because of demanding terrain.
Mirko Zelic, the INA Naftaplin executive director for oil and gas research and production and a member of the management board of Croatian oil company INA, said INA experts were willing to help in drawing up the project and in the construction of the pipeline. He added INA was also willing to cooperate in the definition of other supply routes for Croatia and Bosnia-Herzegovina.
Representatives of both INA Naftaplin and BH Gas expect the price of gas to go up soon. Zelic said Naftaplin had already requested an increase to compensate for the high price paid during an intervention import of 130 million of square metres of gas during a break in the supply coming from Russia.