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CROATIA, RUSSIA SIGN PROTOCOL ON OIL PIPELINE "DRUZBA ADRIA"

MOSCOW/ZAGREB, Nov 26 (Hina) - Croatian Vice-Premier Slavko Linic and Russian Energy Minister Igor Jusufov on Monday signed a protocol on the oil pipeline "Druzba Adria", which, as of next fall, will carry Russian oil via Belarus, Ukraine, Slovakia and Hungary to the Croatian terminal at Omisalj, from where the oil will be transported with tankers further towards the West. The only obstacle to a speedier realisation of the project for the time being is Ukraine's stand. Namely, all states participating in the project have agreed that the price of oil transport via the integrated oil pipeline will be 64 cents per 100 tonnes of oil and 100 kilometres, however, Ukraine has demanded a higher price. The Russian side has therefore bound itself to send its representatives to Kiev on December 3 to ask the Ukrainian government to accept the suggested price. On December 3 and 4 Croatian President
MOSCOW/ZAGREB, Nov 26 (Hina) - Croatian Vice-Premier Slavko Linic and Russian Energy Minister Igor Jusufov on Monday signed a protocol on the oil pipeline "Druzba Adria", which, as of next fall, will carry Russian oil via Belarus, Ukraine, Slovakia and Hungary to the Croatian terminal at Omisalj, from where the oil will be transported with tankers further towards the West. The only obstacle to a speedier realisation of the project for the time being is Ukraine's stand. Namely, all states participating in the project have agreed that the price of oil transport via the integrated oil pipeline will be 64 cents per 100 tonnes of oil and 100 kilometres, however, Ukraine has demanded a higher price. The Russian side has therefore bound itself to send its representatives to Kiev on December 3 to ask the Ukrainian government to accept the suggested price. On December 3 and 4 Croatian President Stjepan Mesic will be paying an official visit to Ukraine as well and it is expected he will intercede with his host Leonyd Kuchma so that the tariff barrier is overcome. Before today's signing of the protocol, Linic and the Russian energy minister discussed intensifying the economic cooperation and trade. The annual trade between the two countries revolves around USD730 million, of which Russian exports account for USD670 million while Croatia's exports account for merely 60 million. Jusufov supported Linic's proposals for increasing Croatian exports to Russia, and the same support was voiced by the First Deputy to the Russian Economy Minister, Roald Biskopelj, whom Linic met this afternoon. A delegation of the Croatian oil industry INA is visiting Moscow as well. The purpose of the visit is finding a strategic partner for joint access to the Russian market. Talks on the oil field "White Nights" have been announced as well, the company said. Linic and his hosts will on Tuesday discuss ways to pay Croatia part of the clearing debt of the former Soviet Union. (hina) sb rml

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