BELGRADE (Serbia), October 10 (SeeNews) – Russian gas giant Gazprom could take over the 250 million euro ($339 million) debt of Serbia's oil monopoly NIS in addition to the 900 million euro it has agreed to pay for 51% of the company, local daily Politika reported on Friday.
Under the deal, yet to be closed, Gazprom will buy the majority stake in Naftna Industrija Srbije (NIS) for 400 million euro and will invest a further 500 million euro in the company by 2012. Taking over the NIS debt means Gazprom will shell out around 1.1 billion euro for NIS, Politika quoted sources close to the negotiations for the closing of the deal as saying.
Serbian analysts say that Belgrade should have tried to negotiate a higher price for NIS, adding the country's political weakness and its need for support on its breakaway province of Kosovo were factors in the deal-making with its traditional ally Russia and, as a result, too low a price for NIS was agreed.
The Serbian arm of international audit and consultancy firm Deloitte said last month it has estimated the market price of NIS at 2.2 billion euro. The 1.1 billion euro which Gazprom could pay is considered to be in line with the Deloitte estimate, Politika said.
The deal between Serbia and Gazprom also calls for setting up a joint venture company for the construction and management of a section of the multi-billion euro South Stream pipeline. The pipeline would be a joint project of Gazprom and Italian oil and gas company Eni, as well as an underground gas depot, situated near the northern Serbian city of Novi Sad.
($ = 0.7378 euro)
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