CAPITAL: ZAGREB
MONETARY UNIT: KUNA
REFINING CAPACITY: 252,900 B/CD
OIL PRODUCTION: 23,000 B/D
OIL RESERVES: 92 MILLION BBL
GAS RESERVES: 1.2 TCF
Croatian state oil company Industrija Nafte Zagreb (INA) had to reduce refinery runs in 2000 in response to rising prices of crude oil.
The state monopoly was caught between higher oil prices and regulated product prices. Its downstream operations generated financial losses when the price of Brent crude exceeded $22/bbl.
In 2001 the government was planning to sell part of INA in a move to reform its biggest companies.
The goal was to sell INA to another oil company or on the stock exchange.
A new government wanted to reform Croatia's finances and companies to lure foreign investment. INA held talks with MOL Rt. of Hungary and OMV AG of Austria but was unable to strike any deals.
Croatia also wanted to strengthen economic ties with Hungary. Landlocked Hungary used Croatia's Rijeka as its main port, while Croatia planned to use transportation links with Hungary to facilitate trade with Poland and Slovakia.
AO Yukos Oil Co., Russia's second largest oil producer, planned to invest $20 million to modernize the Adria oil pipeline in Croatia so it could move crude from Siberia to the Adriatic.
