US Extends Sanctions Waiver for Serbia's Russian-Owned Oil Firm

Serbia has obtained another sanctions waiver from the United States for its Russian-owned oil company, NIS, extending the exemption until September 30. Energy Minister Dubravka Djedovic Handanovic announced the development on Instagram on Friday, confirming that the U.S. Office of Foreign Assets Control (OFAC) granted the extension.

The waiver permits NIS, which operates Serbia's only oil refinery, to continue importing crude oil while the sale of a Russian majority stake to Hungary's MOL is completed. The minister stated that the extended license ensures continued supply to the market while work proceeds on a long-term solution for NIS.

OFAC imposed sanctions on NIS in October as part of broader measures against Russia's energy sector over the war in Ukraine. The sanctions require divestment of the combined 56% stake held by Gazprom Neft and Gazprom. The waiver is critical for Serbia because the NIS refinery meets about 80% of the country's fuel demand. Other fuel imports fell to 25% of their monthly target for July, as record-low water levels on the Danube River reduced barge and tanker cargo capacity to a third.

Djedovic Handanovic said negotiations between MOL and Gazprom Neft are in their final phase. She described the license extension as a signal of progress and a willingness to provide the additional time needed to complete the complex transaction. OFAC has granted several waivers previously, allowing NIS to import crude via Croatia's Janaf pipeline while MOL finalizes the acquisition, following a provisional agreement in January. The Serbian government holds 29.9% of NIS, with the rest owned by small shareholders and employees.