Russian President Vladimir Putin said on Friday that Moscow “has ideas” on how to resolve the issue of Serbia’s Oil Industry (NIS), which is currently under U.S. sanctions, adding that talks with Serbian officials are ongoing, according to Russia’s state news agency TASS.
“We have ideas about how, in what way, and in which direction we can move forward together. Such a dialogue is taking place with our friends in Serbia, and we hope to find the right solution,” Putin said during his annual year-end press conference.
U.S. Sanctions Target Russian Ownership
The United States imposed sanctions on NIS on October 9, 2025, citing the fact that Russian companies own 56.2% of its shares. Washington has insisted that Russian stakeholders must fully exit the Serbian oil company.
Putin stressed that Russia expects Serbia’s leadership to honor its commitments, referring to existing bilateral agreements.
“We have intergovernmental agreements with Serbia regarding the approval of any restrictions related to this commercial entity, and we naturally assume that Serbia’s friendly leadership will fulfill its obligations,” Putin said.
“Otherwise, the question arises: how can investments be made in the country’s economy, and where are the security guarantees if even intergovernmental agreements do not function?”
Refinery Shutdown and Ownership Talks
The U.S. sanctions came into force in October after being postponed several times. Due to the absence of a special license, NIS’s oil refinery in Pančevo was shut down in early December.
Serbian authorities claim that talks with Moscow regarding a potential ownership change are ongoing, with Serbia setting a deadline of January 15, 2025 for a resolution.
On December 16, Serbian President Aleksandar Vučić stated that negotiations were taking place between the Russian side and a major company, though he emphasized that the Serbian government is not directly involved. He did not disclose the identity of the company.
Neither U.S. nor Russian officials have provided public updates on the progress of the negotiations, with most information coming from statements by Serbian officials.
Sanctions Aim to Limit Russia’s War Financing
The U.S. sanctions targeting Russia’s energy sector, which have affected Serbia’s largest oil company, are intended to prevent Moscow from financing its ongoing invasion of Ukraine.
