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Serbia's NIS requests a new waiver of US sanctions to allow crude imports

The U.S. has granted another waiver to Serbia's Russian owned NIS Oil Company, which allows crude imports until the sale of the company?to Hungary MOL is completed.

NIS operates a single oil refinery for Serbia in Pancevo. It supplies the Balkan nation with 80% of its fuel requirements.

In October, the U.S. Office of Foreign Assets Control imposed sanctions against NIS as part of "broader measures" targeting Russia's oil and gas sector in response to Moscow's conflict in Ukraine.

In December last year, the?OFAC granted NIS until 24 March to negotiate the sale?of majority stakes?held by Russia’s Gazprom and Gazprom. The waiver also allowed NIS to import crude oil until March 20, when it expires.

NIS released a statement saying that the request to OFAC emphasized "the importance of regular operations of the company for the (Serbian economy), especially given global developments and current conditions on the oil market. It also pointed to the advanced negotiations to alter NIS's ownership." MOL announced on January 19 that it had signed a binding contract with Russian companies in order to purchase their stakes in NIS. Gazprom holds a?11.3% stake in NIS and Gazprom neft a?44.9% stake. The Serbian government owns a 29.9% stake in NIS, with the rest owned by small shareholders and employees.

Kazakhstan was Serbia's biggest crude?supplier in the past year, accounting nearly 60% of imports. Nigeria and Guyana were next. Iraq used to be the largest supplier, with more than 50% in 2022. However, this situation has changed due to changes in market conditions. All imported crude oil arrives by tankers on the Croatian island Krk, and then is transported via the JANAF pipeline. Reporting by Aleksandar Vasovic. Mark Potter edited the article.

(source: Reuters)