MOL Wins Extension to Pursue Purchase of Serbia's NIS

A key acquisition involving Serbia's only refinery remains alive after U.S. regulators granted additional time for negotiations.

(Reuters) — The U.S. Treasury's Office of Foreign Assets Control (OFAC) has extended a license to Hungary's energy company MOL to negotiate the purchase of a majority stake in Serbia's Russian-owned NIS until July 1, MOL said in a statement on June 17.

The company offered no further details.

OFAC imposed sanctions on NIS in October as the U.S. targeted Russia's energy sector over the war in Ukraine, and demanded that Russian firms divest the NIS shares they own.

MOL signed an agreement in January to buy the combined 51.56% stake held by Gazprom Neft and Gazprom, pending OFAC approval.

U.S. sanctions forced NIS, which owns the only refinery in Serbia, to seek waivers from OFAC to buy and process crude oil, which would not be required once a share sale is completed. On June 16, OFAC granted NIS a sanctions reprieve until July 1.

Croatian oil pipeline operator Janaf has received a similar license from OFAC to continue supplying oil to NIS until July 1, Janaf said in a statement on June 17.

Also on June 16, MOL signed a shareholders' agreement with Serbia over its 29.9% stake in NIS, separate from acquisition talks between MOL and Russian companies.