Croatia eyes LNG move

Croatia's delayed project to build an LNG terminal could become reality by 2020.

Energy minister Ivan Vrdoljak said a plant in the northern Adriatic will be co-funded by the European Union.

Reuters reported the terminal is earmarked as a regional hub, as well as to reduce dependence on Russian gas.

It will be located on the island of Krk and will cost EUR 640m, with new pipelines adding EUR 440m, for a total of $1.45bn.

"We've had intense contacts with the European Commission and it has confirmed that the LNG is one of its strategic projects," Vrdoljak told a news conference. "It is an issue of security and safety of supply."

"I expect we shall have the terminal built in 2019 or 2020 at the latest," he added.

The capacity will be 5bn cbm per year.

Two state-owned energy firms, HEP and Plinacro, are in charge of building the terminal.