BH-Gas Management to Propose to Supervisory Board a Gas Price Reduction of Over 14 Percent

The Management of the company for production and transport of gas BH-Gas d.o.o. Sarajevo has submitted to the Supervisory Board of the Company a proposal for reducing gas prices for all consumers by more than 14 percent, effective from January 1, 2016.

The Assembly of BH-Gas yesterday confirmed the appointment of acting members of the Supervisory Board of the Company, and the first session is scheduled for Friday, February 12, 2016. The Management of BH-Gas expects that the Supervisory Board of the Company will accept the proposal and forward it to the Government of the Federation of Bosnia and Herzegovina for adoption and final decision, Patria reports.

BH-Gas emphasizes that they expect this price reduction to apply in the same percentage to end consumers, i.e., the citizens of Sarajevo.

Furthermore, the management of BH-Gas expects that KJKP Sarajevogas will finally start regularly settling its obligations towards BH-Gas, which has not been the case so far, and as of today, the debt has reached an amount of over 73 million KM (including the invoice for January 2016) plus calculated statutory default interest in the amount of over 17 million KM.

Establishing regular settlement of Sarajevogas's obligations towards BH-Gas is necessary so that we can regularly settle obligations towards Gazprom and thus ensure regular supply to consumers throughout Bosnia and Herzegovina.