Minister of Energy on negotiations between MOL and Gazprom: "Outcome does not depend on Serbia"

The Minister of Mining and Energy Dubravka Djedovic Handanovic said on Sunday that negotiations between MOL and Gazprom Neft on the sale of the majority Russian stake in Petroleum Industry of Serbia (NIS) are progressing, and that "Serbia is not an obstacle in these negotiations", but that the outcome does not depend on us.

Recommended

"President of Serbia Aleksandar Vucic has announced talks with the president of Russia and the prime minister of Hungary on the issue of NIS. We hope for the finalization of the agreement between the Russian and Hungarian parties to happen soon, which should also receive the approval from OFAC. Such an agreement would represent a permanent and sustainable solution for NIS, which now operates in conditions of great uncertainty, from month to month, and of course we are ready for other options, in case of less favorable outcomes, in order to protect the interests of our country," Djedovic Handanovic told Politika.

When asked why ADNOC gave up on NIS, Djedovic Handanovic said that ADNOC was interested in becoming a minority shareholder in NIS, but only after MOL bought a package of 56 percent of shares from Gazprom Neft.

"Our position as a state is that the entry of ADNOC would be good for NIS, and we stand by that position," said Djedovic Handanovic.

When asked how the low water level of the Danube affects the delivery of imported coal to Serbia's thermal power plants, as well as industrial production, she said that the low water level has seriously disrupted supply chains of oil and oil derivatives in the entire region.

"According to estimates, only 25 to 30 percent of the planned quantities are able to arrive, which makes the situation very challenging. Regardless of all the challenges, of which there are many, for now we are managing to provide enough fuel and preserve supply security," the minister added.

Asked how far the Bistrica reversible hydro power plant (RHE) ​​project has come, she said that it ​​represents one of the most important strategic energy projects in Serbia and added that preparatory work will begin this year, while work on the main plant will commence at the end of next year.

"In compliance with all the requirements of the Japanese International Cooperation Agency, with which we should sign a loan agreement next year," she added.

The minister also stated that thanks to the RHE Bajina Basta, Serbia can store energy in periods when the price of electricity is low and use it when necessary.

(Telegraf.rs/Blic)