ZAGREB- Croatian oil and gas company INA said on Tuesday it was given approval by the Egyptian petroleum and mineral resources ministry to buy a stake in a concession for gas and oil exploration in the delta of the Nile river.

"We were given a permission to strike an agreement with Wintershall DEA, an operator on East Damanhur concession area. INA will have 20%, Wintershall DEA 40% and Cheiron will have remaining 40%," INA said in a statement.

The concession for exploration will be given for three years and in case of commercially viable discovery the production licence will be awarded for the period of 20 years.

INA has been active in Egypt for some 30 years and already operates as a partner on three concessions and owns 100% of East Yidma concession. Besides Croatia and Egypt, it is also active in Angola.

INA's biggest single shareholder is Hungarian energy group MOL with almost 50%, while the Croatian government controls close to 45%.

 

(Reporting by Igor Ilic, editing by Louise Heavens) ((igor.ilic@thomsonreuters.com; +385 1 4899 970; mobile +385 98 334 053;))