Thewesternbalkans.
According to RTS, on September 24, Serbian Oil Industry (NIS) submitted a new application to the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) for a special license that would allow the company to continue its operational activities without interruption after September 30, when the previous license expires.
On 29 of September, the U.S. Department of Treasury’s OFAC has issued a new operating license to the NIS, extending it through October 30. This allows the company to continue its operations, including Pančevo Oil Refinery.
Dubravka Djedović – Handanović, Minister of Mining and Energy in the technical government confirmed the American decision adding that it is good news for Serbia, especially given the start of the winter season.
“The situation remains very challenging due to geopolitical circumstances and rising energy prices, as well as difficult logistical conditions, low water levels on the Danube and problems with importing petroleum products. That is why we responded by releasing 5,000 tons of diesel from state reserves onto the market, along with the reduction in excise duties that we have been implementing for months. The new 30-day extension of the license allows the Pančevo Oil Refinery to continue operating and producing maximum quantities of petroleum products — diesel, gasoline, kerosene and fuel oil, which is particularly important for the upcoming heating season,” said the minister.
Talks between OFAC and MOL regarding the transaction are continuing and will require more time.
Minister Djedović Handanović also said that Serbia has completed its part of the work regarding the agreement between the shareholders, should MOL acquire NIS and the United States approve it.
Now the technical government will continue taking all necessary measures to ensure a full supply of the market, keep prices under control and be prepared to respond to any disruptions.
Comments: Apparently, President Vučić hasn’t been wasting his time during his visit to the US for the UN General Assembly meeting and has managed to secure another month’s extension for NIS’s license. On the other hand, the Hungarians from MOL aren’t rushing to close the deal, most likely waiting for more concessions from the Serbian side, which is in serious trouble.
Meanwhile, Republican lawmakers sent a letter to Treasury Secretary Scott Bessent urging the Trump administration to end the practice of granting sanctions relief to Serbia’s Russian-controlled oil industry. The lawmakers are calling on the U.S. Treasury Department to deny the company new temporary licenses that would allow it to operate under current restrictions.
Initiator of the letter is the Republican Congressman Joe Wilson, who recently has sharply criticized Serbian President Aleksandar Vučić, accusing him of moving away from the rule of law and moving closer to countries and regimes that Washington considers opponents of the West.
Wilson, considered an Albanian lobbyist, has together with Democratic Congressman William Keating, introduced the “SERBIA Act” in the US Congress, a bipartisan initiative that aims to address political developments and the situation in Serbia.
