May 30 (Bloomberg) -- A joint venture of Serbia’s Naftna Industrija Srbije AD and a unit of Russia’s OAO Zarubezhneft began exploratory drilling in the Serb part of Bosnia-Herzegovina, where it has a long-term oil and gas concession.
The first drill in Obudovac in northeastern Bosnia is based on a $13 million investment and seismic surveys since 2011, Novi Sad, Serbia-based Naftna Industrija, or NIS, said in an e-mailed statement. Another $19.5 million is earmarked for the research in 2013 in Republika Srpska, the Serb half of Bosnia, where the joint venture, Jadran Naftagas, plans another drill this year, near the northeastern city of Bijeljina.
“The planned value of investments through 2014 is $40.7 million and $188.3 million for the exploitation phase, on condition that reserves are proven,” said NIS, which is controlled by OAO Gazprom Neft.
NIS formed the joint venture with OAO Neftegazinkor in 2011 and secured a 28-year oil and gas concession from the Bosnian Serb authorities as part of its plans to expand its resource base in the region.
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