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The Government of the Republic of Serbia

In the service of citizens

Serbia, Czech Republic cooperate in energy sector

Belgrade, 6 March 2006

Serbian Minister of Energy and Mining Radomir Naumov and Czech Minister of Industry and Trade Milan Urban discussed in Belgrade today the opportunities for cooperation of Serbian and Czech companies in the electro energy, mining and gas sectors.

Naumov briefed the Czech delegation about Serbia's potential in the electro energy, mining and gas sectors, putting a special emphasis on the possible investment in these sectors. He also spoke of the great interest that municipalities in Serbia have shown in gasification and the effort made in bringing Serbian regulations in line with European standards.

The Czech delegation was also briefed on the reorganisation processes started in the Electric Power Industry of Serbia (EPS) and the Serbian Oil Industry (NIS), their modernisation, preparations for entering the common energy market and plans for construction of energy infrastructure.

Urban pointed out that Czech companies are interested in investing in Serbia. He also stressed the interest the Power Industry of the Czech Republic (CEZ) has shown in cooperating with EPS in the completion of construction works on the "Kolubara B" thermoelectric power plant.

Other Czech companies have shown considerable interest in investing in the construction of a power plant and a heating plant in Zajecar, gasification of Loznica and completion of the gasification processes in Banja Koviljaca and Lesnica in the next two years.

In the mining sector, Czech companies showed interest in participating in the rehabilitation and reconstruction of the iron ore mines "Soko" and "Rembas". On behalf of the Czech government, Urban expressed readiness for investment in continuous production in these mines in the next three years. The Czech delegation offered funds for creation of a feasibility study for expanding the "Stavalj" mine.

At today's meeting, the two officials also discussed the possibility of simplifying the procedure for obtaining guarantees for Serbian companies which participate in reviving the aforementioned mines.