Croatia's first natgas compressor station to start operations by end-2019

"The construction of this compressor station will enable the continuous two-way flow between Croatia and Hungary, which is important from the perspective of the future functioning of the LNG terminal on the Krk island and the gas that will arrive from it," Coric said in a statement published by the energy ministry on Friday.

The statement was issued following a visit by Coric to the compressor station's construction site in the Velika Ludina municipality in northern Croatia. The project is carried out by national gas transmission system operator Plinacro.

In July, the European Commission approved Croatia's plans to support the development of a 233.6 million euro ($254.5 million) liquid natural gas (LNG) terminal at the Adriatic island of Krk with 100 million euro state aid.

The project comprises the construction and operation of a floating LNG terminal featuring a floating storage and regasification unit (FSRU) and its connections to the national gas transmission network. The terminal will have the capacity to transport 2.6 billion cubic meters of natural gas per year into the national grid as from 2021.

The Krk LNG terminal will deliver gas to the Croatian national transmission network, connected with EU member states Slovenia, Italy and Hungary, as well as with Serbia and Montenegro.

(1 euro = 7.4121 kuna)