Oil concerns PKN and PGNiG contemplate exploration agreement

PKN Orlen is conducting talks with Polish Oil and Gas (PGNiG) about cooperating in exploring oil and gas fields, and with Nafta Polska about taking over part of Naftobazy. "We have started negotiations and have yet to analyze the costs that oil drilling would bear," said Zbigniew Wrobel, president of Orlen. The enterprise is furthermore interested in taking over 15-19% stake in Naftobazy. The management of the Plock-based company will soon decide whether to take part in the tender for Romanian Petrom, which would have to be accepted by its supervisory board. At the end of August, the Romanian government announced a tender for a 33.4% stake in the oil concern. The investor would afterwards be obliged to acquire new share issues and increase its involvement in the firm to 51%. Analysts evaluate the 33.4% share in Petrom at $1 billion, but the potential investor would probably have to spend $1.5 billion, which would include increasing the companies share capital. (Parkiet, September 6-8, p. 3) M.M.