Serbian plant NIS to resume operations: The USA has granted a temporary license until January 23

Resumption of operations at the NIS oil refinery

According to Главком: The Serbian oil refinery NIS will resume operations on January 17 or 18 after receiving a temporary license from the USA, which will be valid until January 23. The plant is currently under US sanctions, but the receipt of the license will allow it to resume activities after a 36-day break.

The USA has given NIS time until March 24 to negotiate the sale of shares owned by Russian stakeholders. Currently, the Russian 'Gazprom' owns 11.3% of the plant’s shares, while 'Gazprom Neft' controls 44.9%. The Serbian government, in turn, owns 29.9% of NIS shares.

Expectations and impact on the economy

It is expected that the first 85 thousand tons of crude oil will arrive by January 15, and the production of petroleum products is scheduled for January 25 or 26. Serbian President Aleksandar Vucic commented on the situation, stating:

“I expect that the first 85 thousand tons of crude oil will arrive by January 15 and that the oil refinery will start operating on January 17 or 18, and the production of petroleum products will begin on January 25 or 26.” - Aleksandar Vucic

The resumption of operations at the NIS plant is an important step for the Serbian economy as it ensures the supply of petroleum products to the domestic market. The temporary license from the USA allows the plant to conduct operations, which can positively affect the country’s energy security. However, the future of the plant remains uncertain, depending on the results of negotiations regarding the sale of the shares owned by Russian stakeholders, which may determine further developments in the situation.

The presence of Russian investments in the strategic energy sector poses certain challenges for Serbia, considering international sanctions and the political context.