Hungarian oil company MOL has announced that it will increase oil deliveries to Serbia, following the entry into force of U.S. sanctions against Serbia’s Oil Industry (NIS), Hungarian Foreign Minister Péter Szijjártó confirmed on Friday.
The U.S. sanctions, which took effect on Thursday, prompted Croatia to halt crude oil supplies to Serbia via the JANAF pipeline, raising concerns that NIS operations could soon be disrupted.
“Since MOL plays a key role in Serbia’s oil and fuel supplies, our Serbian friends can rely on increased deliveries from MOL,”
said Szijjártó, adding that this boost cannot fully replace the halted Croatian shipments.
The Hungarian minister did not specify the volume or logistics of the planned deliveries, while MOL stated that although its options are limited by logistical challenges, the company remains committed to supporting Serbia’s energy security.
Currently, NIS supplies about 80% of Serbia’s diesel and gasoline needs, and over 90% of jet fuel. With no access to the Adriatic pipeline through Croatia, Serbia faces restricted options for importing crude oil at scale, reports RFE/RL.
A new pipeline between Hungary and Serbia is in the planning stage. According to Szijjártó, it could begin operations in April and fully meet Serbia’s crude oil demand by 2028.
The United States placed NIS under sanctions on January 10, citing the company’s Russian ownership ties through Gazprom Neft, as part of efforts to cut Moscow’s energy revenues used to fund the war in Ukraine.
The enforcement of sanctions was delayed eight times, most recently until October 8.
Although Gazprom formally withdrew from NIS in September, the company remains largely under Russian control. A Gazprom-linked firm, Intelligence Joint Stock Company from St. Petersburg, became one of the main shareholders with 11.3% ownership, according to data published by the Belgrade Stock Exchange on September 21.
Gazprom Neft still holds 44.9% of NIS shares, the Serbian government owns 29.9%, while the remaining shares belong to small investors.
