PRODUCTION OF GAS AT 'IVANA A' PLATFORM TO BEGIN

ZAGREB, Nov 3 (Hina) - The beginning of gas production at "Ivana A" platform on the largest Croatian gas field "Ivana" in the northern Adriatic Sea was officially marked in Zagreb on Wednesday at the beginning of a news conference, organised by the Croatian-Italian company INAgip. #L# The current production of gas at the platform amounts to about 400,000 cubic metres per day, and is expected to rise to 700,000 cubic metres. Once additional platforms are constructed and linked, production is expected to reach 1.8 million cubic metres per day by the year 2001. The total gas reserves on this field in the northern Adriatic have been estimated at 5.2 billion cubic metres. Investments only into the first part of "North Adriatic" project are worth about US$90 million. Investments until the completion of the project, i.e., the construction of additional platforms and rigs, are estimated at US$190 million. Production on the last platform should start by 2006. "This is a historic moment for Croatia, a moment when Croatia gets another 'island' and joins countries which have such 'power islands'", said Davor Stern, general director of the Croatian oil company INA. The beginning of production at the platform in the Adriatic is an important event for Croatia, especially because once the project is completed, production at the platform will account for 30 per cent of the overall gas production in Croatia, said Vittorio Mincato, managing director of the Italian concern Eni, which includes the oil company Agip. Eni believes that its business ties with Ina are of strategic importance and should be strengthened with all available instruments in the interest of further development and good business. The gas produced at the platform "Ivana A" will be carried by a gas pipeline to the Italian platform and further via Italy and Slovenia to Croatia. There are plans to link the platform later with Pula. (hina) jn rml