The state-owned Plinacro gas pipelines company signed a €8.2 million contract on Friday with the Romanian-based SC Euro Gas Systems for the delivery of the first compressor station for Croatia's natural gas transportation system, Plinacro said in a press release on Friday.

The compressor station will be located in the town of Velika Ludina in central Croatia, about 60 kilometres south-east of capital Zagreb.

“The two companies signed an agreement on the delivery, installation, commissioning, and maintenance for three compressor units for the first compressor station (KS1) for Croatia’s gas transportation system. The new station is expected to have a maximum power of 4.2 megawatts (MW),” Plinacro said in its press release.

The contract valued at €8.2 million was awarded in an international tender with the Romanian company submitting the most favourable bid.

Plinacro said that construction work began three weeks ago, and the signing of today’s contract ushered in the final phase of this project, valued in total €28 million.

“The construction of KS1 will increase supply security for all users of Plinacro’s transportation system, and will allow more flexibility in managing existing transportation capacities, and a rational increase in capacities based on market needs. In addition, it will allow permanent two-way flow at the existing gas pipeline inter-connection between Croatia and Hungary, along the Donji Miholjac-Dravarszerdahely route, which will enable delivering gas from the future LNG (liquefied natural gas) terminal on the island of Krk towards Hungary and other countries,” Plinacro said.

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