The oil refinery "Naftna Industrija Srbije" in Pančevo, the country's only refinery, has ceased operations due to a lack of feedstock. This was reported by Belgrade television Nova.rs, citing sources.
U.S. response
The U.S. Treasury's Office of Foreign Assets Control (OFAC) answered the Serbian government's request to extend NIS's license only on the morning of November 25. The request had been submitted six days earlier.
Serbia sought permission so the company could operate without hindrance while negotiations on changing the ownership structure were underway. Energy Minister Dubravka Djedović-Handanović said the Russian side was prepared to sell its stake to a third party to postpone the sanctions.
Potential buyer
On November 21, The Wall Street Journal reported that ADNOC from the UAE is interested in buying NIS.
Statements from the president
Two days ago, Serbian President Aleksandar Vučić said there was no good news regarding "Naftna Industrija Srbije." He promised to inform the public of the results of the negotiations within 36–48 hours.
Vučić is expected to officially announce the plant's shutdown shortly.
Sanctions context
The U.S. imposed sanctions on NIS on January 10, but they only came into force on October 9 this year. The main requirement – the exit of Russians from the roster of owners.
After nine months of negotiations between the Serbian authorities and Russia, no solution was found. Moscow rejected all options proposed by Serbia.
