Croatia: We're Ready to Acquire U.S. Sanctioned Serbian Oil Company

Core Insights - Croatia is preparing to acquire Serbia's Russian-owned oil company NIS to protect its state-owned oil pipeline operator JANAF from the impact of U.S. sanctions [1][3] Group 1: U.S. Sanctions and Their Impact - The U.S. sanctions against NIS took effect this week, cutting off the company from key Western partners, with JANAF confirming it has authorization to continue deliveries until October 15 [2] - The sanctions are expected to disrupt oil supplies in the region, particularly affecting Bosnia and Herzegovina, which relies on NIS for approximately 20% of its oil derivatives [4] - JANAF's business with NIS accounts for over 30% of its annual revenue, and the halt in deliveries could cost Croatia an estimated €18 million through the end of 2025 [4] Group 2: Strategic Intent of Acquisition - The acquisition of NIS by Croatia is framed as a strategic move to safeguard JANAF's operations rather than an attempt to dominate Serbia's retail market [3][6] - Šušnjar emphasized that the goal is to stabilize energy ties in the region and promote energy cooperation amid geopolitical pressures [6] Group 3: Ownership Structure of NIS - Gazprom Neft, the Russian state-owned oil giant, previously held a 50% stake in NIS but now owns 44.9%, while another Gazprom-linked entity holds 11.3%, and Serbia retains a 29.9% share [5]