U.S. Sanctions Force Serbia’s Only Refinery to Shut Down

The United States has denied a sanctions waiver to Serbian refinery Naftna Industrija Srbije (NIS), majority owned by Russian state energy firms and sanctioned by the United States, forcing Serbia’s only refinery to shut down, Serbian President Aleksandar Vu?i? said on Tuesday. 

“We expected to get a license from the US government for continued oil supplies to our refinery in Pancevo…but we have not received a positive decision from the US,” Vu?i? said at a briefing today, as quoted by the Tanjug news agency.    

NIS last month applied for a special U.S. license to continue operations until talks for an ownership change conclude. The refinery’s management submitted in mid-November a request to the Office of Foreign Assets Control (OFAC) of the U.S. Department of the Treasury for the issuance of a special license that would enable the company to operate without disruptions. 

Gazprom Neft and Gazprom affiliates hold a majority stake in NIS, with the Serbian state owning the remaining 29.9%.    

The U.S. has waived the sanctions against NIS several times since it included it in the sanctions on Russia’s oil industry in January this year. The sanctions on the Russia-owned refinery in Serbia came into effect in early October as the last waiver expired.  

OFAC has issued a license until February 13, 2026, which only authorized negotiations between shareholders and other interested parties regarding changes in NIS’s ownership structure.  

Set OilPrice.com as a preferred source in Google .

However, Serbian President Vu?i? said today that the Russians do not want to sell their stakes in the refinery. 

“We have to accept that as a fact. Unequivocally, the Russians do not want to sell and are not keen on selling. There is no doubt. This is not about money, but about politics. And logically, they are entitled to that. They are the owners,” the Serbian president said. 

Serbia will have sufficient fuel supply by the end of January, Vu?i? noted. 

By Michael Kern for Oilprice.com

More Top Reads From Oilprice.com

 

  • Related Posts

    Equinor Raises Oil and Gas Output Forecast as Operating Profit Doubles

    Equinor raised its 2026 oil and gas production growth forecast to around 4% after higher commodity prices and record earnings at its Mongstad refinery helped more than double third-quarter operating…

    PetroChina Q3 Profit Jumps to $7.78 Billion

    PetroChina’s third-quarter profit rose 21.6% on Iran war-inflated oil and gas prices, while the company’s nine-month crude output, refinery runs and domestic diesel sales all fell. Net profit for the…

    Have You Seen?

    Equinor Raises Oil and Gas Output Forecast as Operating Profit Doubles

    • October 29, 2026
    Equinor Raises Oil and Gas Output Forecast as Operating Profit Doubles

    PetroChina Q3 Profit Jumps to $7.78 Billion

    • October 28, 2026
    PetroChina Q3 Profit Jumps to $7.78 Billion

    Bahri Profit Hits $1.36 Billion as the World Scrambles for Tankers

    • October 28, 2026
    Bahri Profit Hits $1.36 Billion as the World Scrambles for Tankers

    QatarEnergy Extends LNG Force Majeure to End of 2026

    • October 28, 2026
    QatarEnergy Extends LNG Force Majeure to End of 2026

    China’s Refiners Turn to Africa and Brazil Crude as Freight Rates Ease

    • October 28, 2026
    China’s Refiners Turn to Africa and Brazil Crude as Freight Rates Ease

    ErreDue to supply two PEM electrolysers to jewellery firm

    • October 28, 2026
    ErreDue to supply two PEM electrolysers to jewellery firm

    Biomethane ‘left behind’ in UK Budget, says trade association

    • October 28, 2026
    Biomethane ‘left behind’ in UK Budget, says trade association

    UK-Taiwan launch CCUS partnership

    • October 28, 2026
    UK-Taiwan launch CCUS partnership

    UK Budget cuts carbon capture grants as Acorn faces funding uncertainty

    • October 28, 2026
    UK Budget cuts carbon capture grants as Acorn faces funding uncertainty

    Equinor Profits Triple as Oil and Gas Prices Surge

    • October 28, 2026
    Equinor Profits Triple as Oil and Gas Prices Surge