Croatia's HEP replaces CEO

Orsulic has been appointed for a term of six months until a public tender for the position of CEO of HEP takes place, HEP said in a press release.

Orsulic, 53, is an electrical engineer and has been employed at HEP since 1996.

Last week, the Croatian government said it proposed to the supervisory board of HEP to dismiss the Barbaric without elaborating on the reasons.

However, according to media reports quoting a member of parliament, HEP was losing 500,000 euro ($538,000) per day earlier this year by purchasing natural gas from oil and gas group INA [ZSE:INA] at a regulated price of 47.60 euro per megawatt hour, only to resell it later through the Croatian Energy Market Operator at lower prices.

Additionally, as per other media sources, the Split municipal prosecutor's office recently charged Barbaric for the unauthorised construction of a villa on the island of Hvar. He had pledged to dismantle it at his own cost.

($ = 0.929 euro)