Casino operators Hit and Harrah's Entertainment unveiled at Bled on Thursday an in-depth analysis of the planned construction of a mega gaming and entertainment centre near the western Slovenian town of Nova Gorica to government officials. Finance Ministry State Secretary Andrej Sircelj hailed the meeting as "injecting a new impetus into the talks".
Sircelj, who heads the government's team leading negotiations with Hit and Harrah's, said that the talks would continue in a month's time, after the government responded to the views presented by the companies.
In a statement issued after the talks, Sircelj said it was still difficult to say when the gaming centre estimated at EUR 700m could be built. "There are many issues that still need to be sorted out, including the acquisition of land."
Moreover, Sircelj said that another issue at hand was the need for Slovenia to create suitable conditions for the investment. "The talks were successful in this respect, after all the government has promised to present its stance within a month," he added.
Sircelj would not speak about the conditions made by Harrah's in order to realise the project. There are no demands - we are engaged in talks that are taking place in a constructive atmosphere, Sircelj told the press.
He said it was in the best interest of the negotiations that they be given time. The agreement will be reached as soon as possible, but probably not as early as in a month or two, said Sircelj.
The Finance Ministry official did not wish to disclose where the views of the two sides diverge. Asked whether he supported the lowering of the tax on gaming and the adoption of provisions allow foreigners to own more than 20% in a gaming venture as currently set down in legislation - conditions that Harrah's is reported to have made for the project - Sircelj said talks were dealing with these issues.
"Of course we expect new investments to bring additional jobs, greater development of certain regions as well as the whole of Slovenia and that all this will have a positive impact on economic growth," he said.
Meanwhile, Hit chairman Niko Trost echoed the satisfaction with the talks. "True to our promise we have compiled a project analysis that deals with what we promised, including the programme, line of products, marketing strategy, target markets and distribution channels". He claimed the analysis confirmed the rationale behind the project.
Richard Mirman, senior vice-president at Harrah's Entertainment, was also tight-lipped about the nature of the talks with the government as well the company's plans.
He said his company was willing to invest as much as was needed to make the project a success since it was convinced that the location was excellent. Mirman added that it was too early to determine the exact value of the investment as there was still a lot to do.
Hit and Harrah's formed a joint venture in November 2005. The initial plans for the project included a high-class hotel with 800 to 1,200 rooms and a casino stretching over 4,500 sq. metres with 1,500 slot machines and 70 tables.
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