OWEN AND MIKELIC ON TALKS

BEOGRAD, Jan 4 (Hina) - Co-chairman of the International Conference on Former Yugoslavia Lord David Owen last night told a press conference that talks with Serbian President Slobodan Milosevic focused on the situation in Bosnia-Herzegovina, the relationship between Knin and Zagreb and other aspects of the crisis in former Yugoslavia. Knin Serb leader Borislav Mikelic, who met Lord Owen in Knin earlier, said that the talks were "protracted" and revolved around all aspects of the December 2 Economic Agreement - water, electricity, oil and the Zagreb-Lipovac highway. The takls also focused on setting up an oil company which would supply Serb- occupied parts of Croatia with oil. Mikelic announced further talks between Croatian and rebel Serb delegations for the next week. (Hina) vr 041059 MET jan 95