Croatia’s premier stated European Union leaders will search an answer to assist Serbia avoid sanctions concentrating on a key oil refiner managed by Russia’s Gazprom.
Prime Minister Andrej Plenkovic addressed potential US and UK measures to focus on Serbia’s sole refiner, Naftna Industrija Srbije. Croatia’s state-controlled oil pipeline operator, Janaf, generates about third of its income from NIS, its greatest shopper.
Serbian President Aleksandar Vucic final week stated NIS is beneath sanctions menace, warning that such a measure may cripple Serbia’s gas market and have severe penalties for the Serbian economic system. On Thursday, he obtained a nod from the Balkan neighbor with whom Serbia as soon as waged battle.
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“There’s an intention to unravel the issue on the EU stage,” Plenkovic instructed reporters in Brussels as European Union leaders met at a summit. He stated changes to NIS’s possession construction may tackle the problem and protect the present contract between Janaf and NIS.
Janaf is contracted by NIS to move 10 million tons of crude over three years till 2026. Gazprom Neft diminished its majority stake in NIS to 50 p.c in 2022 in response to sanctions prompted by Russia’s invasion of Ukraine. An extra 6.15 p.c stake is held by Gazprom, whereas Serbia owns just below 30 p.c.
Vladislav Veselica, a administration board member at Janaf, stated he expects a “world resolution” to resolve the sanctions menace.
“I consider that the Croatian authorities will discover a method to keep away from the injury,” Veselica stated in a telephone interview Thursday.
Underneath Vucic, Serbia — a candidate for EU membership — has sought to steadiness its ties with Western powers, Russia and China. The federal government in Belgrade has condemned the Kremlin’s battle on Ukraine, however stopped in need of adopting Western sanctions.
Serbia additionally depends closely on Gazprom fuel provides, even after efforts to diversify away from Russian provides. It’s in talks with Moscow to increase a provide contract that expires in March.
Vucic, who attended an EU summit with leaders from the western Balkans, on Thursday mentioned the matter with James O’Brien, US assistant state secretary for European and Eurasian affairs.
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