US Suspends Sanctions on Serbian Oil Company NIS for 30 Days

US Suspends Sanctions on Serbian Oil Company NIS for 30 Days

Temporary Relief for Serbia

The United States has suspended sanctions for 30 days on Serbian oil company NIS, which is majority-owned by Russian companies and operates the country’s only oil refinery, Serbian President Aleksandar Vucic announced on Thursday.

Official Confirmation

Vucic shared a photo of a U.S. Treasury document on his Instagram page, stating, “We got 30 additional days for NIS. This is good news for the citizens of Serbia.” Reuters has not yet verified the document.

Background on Sanctions

The United States imposed sanctions on Russia’s oil sector on January 10, initially giving Russian oil company Gazprom Neft a deadline until Thursday morning to exit ownership of NIS.

Gazprom Neft’s Ownership Reduction

On Wednesday, Gazprom Neft reduced its majority stake in NIS by transferring approximately 5% of its shares to its parent company, Gazprom.

Impact on Serbia’s Energy Supply

A suspension of sanctions provides critical relief for Serbia, as NIS supplies about 80% of the domestic retail market with crude oil and gas derivatives. If sanctions were enforced, NIS would be unable to import crude oil through Croatia’s pipeline operator, Janaf.

Uncertainty Over Future U.S. Actions

The U.S. has not yet issued a public statement following the deadline’s expiration. It remains unclear whether the recent ownership restructuring will be accepted as a long-term solution, given that Gazprom Neft is the oil subsidiary of energy giant Gazprom.

Current Stakeholders

The Serbian government holds a 29.87% stake in NIS, while the remaining shares are owned by small shareholders.

“US Suspends Sanctions on Serbian Oil Company NIS for 30 Days” “US Suspends Sanctions on Serbian Oil Company NIS for 30 Days”