WALTER BAU COMPANY TO ASSIST IN BUILDING KRAPINA-MACELJ HIGHWAY

( Editorial: --> 7920 ) PREGRADA, Dec 12 (Hina) - An agreement on a concession for the continuation of works in the building of the Pyhrn E59 highway on the Krapina-Macelj section was signed on Friday. The agreement was signed by Croatian Reconstruction and Development Minister Jure Radic, the head of the Croatian Roads Administration, Aleksandar Caklovic, and two representatives of the Augsburg-based Walter Bau company from Germany, Joerg Escenbach and Hermann Bernes. Nineteen and a half kilometres of highway will be built on the Krapina-Macelj section, of which 3.5 km will be a tunnel. The section of the highway, which connects Croatia with Slovenia and Austria, will cost 1.15 billion kunas, and should be completed by 2000. Today's agreement also envisages the building of a 6.5 km section of the Zapresic-Jankomir highway. It should cost 160 million kunas and be completed in two years. Radic said today's agreement was based on an earlier agreement between Croatia and Bavaria on the building of the Pyhrn highway, running from Nuremberg and Munich, via Austria, Slovenia, and Zagreb, to Split and Dubrovnik in south Croatia. Ralf Porzig, head of the Walter Bau executive board, expressed satisfaction with today's agreement. The Croatian Roads Association and Walter Bau will establish a concession association, Radic said. Croatia will have 85 per cent and Walter Bau 15 per cent ownership, he explained. To be called "Zagreb-Macelj", the association will be granted a highway management concession lasting to a maximum of 28 years. Concession remuneration to Croatia will amount to 50 per cent of the gross profit, while the settlement of the concession remuneration will start 14 years from the association's establishment. In line with the ownership ratio, the profit will be divided between Croatia and Walter Bau. (hina) ha mm jn 121648 MET dec 97