Serbia's sanctioned oil firm NIS seeks new US licence

Serbia's oil company NIS (NIS.BG), majority-owned by Russian energy companies, has asked the US Treasury for a new licence to continue operating after its current sanctions waiver expires on September 30, the company said on September 24.

NIS said it had submitted a request to the Treasury's Office of Foreign Assets Control (OFAC) for a special licence covering its operations, including the running of its Pančevo refinery and continued supply of the Serbian market.

The latest request comes as Serbia seeks a long-term solution for NIS, which has operated under a series of temporary US licences since Washington imposed sanctions over its Russian ownership.

The United States introduced sanctions on NIS in October 2025 as part of measures targeting Russia's energy sector following its invasion of Ukraine. Russian companies hold 56.15% of NIS, including a 44.85% stake held by state-owned Gazprom Neft, while the Serbian government owns 29.9%.

Washington last extended NIS's operating licence on August 28, allowing the company to continue refining, importing crude and conducting other transactions until September 30.

Hungarian oil and gas group MOL (MOLB.BU) has been negotiating with Gazprom Neft to acquire the Russian stake. Serbian Energy Minister Dubravka Đedović Handanović said in August that the talks were in their final phase, but there has been no announcement of a completed transaction.

In June, MOL and the Serbian government also signed an agreement setting out the future management structure and strategic objectives of NIS. The agreement is conditional on MOL reaching a deal with Gazprom Neft and obtaining US approval.

The licence is particularly important for Serbia because NIS operates the country's only oil refinery, in Pančevo, which supplies a large share of domestic fuel demand. A previous sanctions-related disruption forced the refinery to halt production temporarily late last year. The refinery has since resumed operations under the US waivers.

Serbia is also facing tighter regional fuel markets. Low water levels on the Danube due to drought have restricted alternative fuel deliveries by barge, while attacks and disruptions in the Middle East have constrained oil and refined-product flows.

Brent crude was trading around $102 a barrel on September 24, after rising above $100 earlier this month as the US-Israeli conflict with Iran disrupted oil shipments through the Strait of Hormuz and attacks by Yemen’s Iran-backed Houthi rebel group affected energy infrastructure in Saudi Arabia.

President Aleksandar Vucic has said talks involving the Serbian, Russian, Hungarian and US sides are continuing over NIS, but has given no indication of when a final ownership deal might be reached.