Two years after signing a memorandum or understanding with the Federation government, Shell now expects to receive a concession to explore for oil and gas in BiH’s larger entity. The FBiH government has given its Energy Ministry permission to negotiate concessions directly.
“Taking into consideration the clear commitment of Shell to start negotiations, but also the experience of this company in exploring this resource and its financial backing for these risky and expensive geological explorations, the government decided… to grant the concession,” the government said on Thursday.
Shell sent a request to the entity government in September stating its interest in starting negotiations on a concession.
Thursday’s government decision suggested exploration would start around Bihac, Prijedor, kljuc, Glamoc, Bugojno, Imotski, Mostar, Ploce, Kalinovik and Dubrovnik, which is in Croatia.
