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Croatia Not in Talks With Rosneft on INA Sale, PM’s Office Says

Croatia is not in talks to sell the the government’s stake in INA Industrija Nafte d.d. to OAO Rosneft, the office of Prime Minister Zoran Milanovic said today in an e-mailed statement.

Bloomberg reported on Sept. 6 that Croatia approached the Russian oil company to take over INA Industrija Nafte d.d. as the government seeks to solve a dispute with Mol Nyrt. over control of the Balkan nation’s oil company, citing three people familiar with the talks.

Hungary’s Mol owns 49.1 percent of the Zagreb-based refiner, while Croatia holds 44.84 percent. The government of the European Union’s newest member has struggled to reverse a 2009 contract with Mol arranged by former Prime Minister Ivo Sanader, who quit office and was later convicted of corruption.

The talks between Mol and the government are expected to start Sept. 18 in Zagreb. Croatian Economy Minister Ivan Vrdoljak said on Sept. 5 the government is seeking a new model to run INA, where control would be proportional to shareholdings.

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