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NIS, a Russian company sanctioned by the US and owned by Russians, restarts Serbian refinery

Serbia's energy ministry said that the majority-owned Russian oil company NIS had restarted its refinery in Serbia and resumed crude oil imports after receiving a waiver from United States sanctions.

In an Instagram post, Energy Minister Dubravka Handanovic stated that the refinery was restarted following a break of nearly two months.

She stated that the first diesel produced by the refinery following the restart of the plant should be on the market before January 27.

In October, the U.S. Treasury Department’s Office of Foreign Assets Control (OFAC), which is part of the Treasury Department, imposed sanctions against NIS. The majority stake in NIS belongs to Russia’s Gazprom and Gazprom.

NIS was given until the end of March to complete the sale of stakes to Russian companies. It is currently in the middle of negotiations with Hungary's MOL.

Peter Szijjarto, the Hungarian foreign minister, said that he expected that OFAC would approve the initial sale in the next few days.

NIS, the sole oil refinery in Serbia was granted a sanction?reprieve until January 23 by OFAC, allowing it import crude oil through Croatia's JANAF pipe.

Gazprom owns 11.3% of NIS and Gazprom neft 44.9%. Serbian government owns 29.9% of NIS. (Reporting and editing by Tom Hogue; Additional reporting by LefterisPapadimas)

(source: Reuters)