Serbian President Aleksandar Vucic announced a government-backed plan on Tuesday, setting a strict 50-day deadline for Russian companies Gazprom and Gazprom Neft to sell their majority stakes in Naftna Industrija Srbije (NIS), the country’s largest oil firm. This move comes after the United States imposed sanctions on NIS in January 2025, with enforcement beginning in October following several temporary waivers. The Serbian government is urgently seeking a resolution to ensure the continuity of fuel supplies as winter approaches, aiming to avoid disruptions that could impact both the economy and daily life.
President Vucic explained at a press conference that if no sale agreement is finalized within the 50-day window, Serbia would not immediately nationalize NIS. Instead, he outlined a contingency plan: “We will introduce our own management, and then we will offer the highest possible price and pay the highest possible price to our Russian friends.” This approach, he stressed, reflects Serbia’s desire to maintain strong diplomatic and economic ties with Russia while also complying with international obligations and safeguarding national energy security.
Appeal for US License and International Involvement
Vucic made a direct appeal to the US Treasury Department, requesting an operational license for NIS within 48 hours that would last for the duration of the 50-day period. Such a license would allow Serbia to continue importing oil through JANAF, Croatia’s oil pipeline operator, which has historically been Serbia’s main supply route prior to sanctions. “We need that license in the next 48 hours, for a period of 50 days. That is my plea and that is my request to the Americans,” Vucic stated.
The president also acknowledged ongoing negotiations involving potential buyers from various countries. He mentioned “friends from the UAE, Hungary, and some other countries” as possible participants in talks to acquire Russian shares in NIS. However, Vucic expressed disappointment that Russia did not give Serbia itself an opportunity to purchase a majority stake in its own oil company. “We wish every success to the Russian side in this. We are not interfering in their choice,” he said. “It is the right of the owner to manage their capital and their property.”
Financial System at Risk Amid Sanctions Pressure
Vucic warned that Serbian banks—both public and private—have received notices indicating they could be subject to secondary sanctions if they continue doing business with NIS after the deadline expires without a license. Such measures could lead to a halt in payment operations, suspension of payment cards, cessation of loan issuance, and broader disruptions in financial services for both businesses and consumers.
In line with this warning, Serbia’s National Bank issued an official statement confirming it would suspend all payment operations with NIS should the company fail to secure an operating license by the designated deadline. The bank emphasized its responsibility to preserve the stability of Serbia’s domestic financial system and ensure smooth continuation of payment services nationwide.
Ownership Changes and Geopolitical Implications
The US Office of Foreign Assets Control (OFAC) imposed sanctions on NIS as part of broader efforts targeting Russia’s major oil producers—Gazprom Neft and Surgutneftegas—in response to Russia’s ongoing conflict with Ukraine. These measures are intended to reduce Moscow’s oil revenue used for military activities.
At the time sanctions were first ordered in January 2025, Gazprom owned 6.15 percent of NIS while its subsidiary Gazprom Neft held another 50 percent. The Serbian government retained just under 30 percent ownership, with other minority shareholders holding just under 14 percent. By February, Gazprom increased its stake to 11.3 percent while Gazprom Neft reduced its share to 44.9 percent; later, Russian company JSC Intelligence acquired control of Gazprom’s former shares.
NIS has played a central role in Serbia’s energy sector since its partial privatization in 2008 when Gazprom acquired a controlling 51 percent stake for €400 million plus an additional €550 million investment commitment—a deal widely criticized domestically as undervalued.
As winter nears and international pressure mounts, Serbia stands at a crossroads—balancing its historic ties with Russia against compliance with Western sanctions and ensuring uninterrupted energy supplies for its population.
