Hungarian oil and gas company MOL Group has signed a heads of agreement (HoA) with Gazprom Neft to acquire the latter’s 56.15% stake in Naftna Industrija Srbije (NIS) for an undisclosed price.
The deal with the Russian company will grant MOL control of Serbia's only oil refinery, located in Pancevo.
It also marks a significant expansion of MOL's operations in the central and south-eastern European energy market.
This acquisition aims to guarantee sustained and stable operations at the Pancevo refinery and its associated business units, ensuring a consistent energy supply to the region.
MOL Group chairman and CEO Zsolt Hernádi said: “As a reliable regional energy provider, we would like to contribute to the development of central and south-eastern Europe. We have maintained excellent professional cooperation with our Serbian partners for many years.
“MOL is committed to working together with the Serbian Government to further strengthen the security of supply in Serbia and in the region.”
Hernádi further explained that the energy sovereignty of landlocked countries depends on the collaboration of robust local refineries that can operate predictably and effectively, alongside strong partners.
He indicated that MOL Group is talking to the United Arab Emirates’ ADNOC about the latter potentially becoming a minority shareholder in NIS, while the Hungarian company would maintain majority ownership and control.
The Pancevo refinery, operational since 1968, has undergone significant modernisation. It currently has a refining capacity of around 4.8 million tonnes per year.
The facility produces various petroleum products that meet EU standards.
NIS also operates a network of nearly 400 service stations across Serbia, Romania, and Bosnia and Herzegovina.
The deal's completion hinges on fulfilling conditions outlined in the HoA, such as securing necessary regulatory endorsements.
Critical approvals needed include clearance from the Office of Foreign Assets Control in the US, alongside other governmental and state consents in Serbia.
The involved parties are targeting a deadline of 31 March 2026 to finalise the sales and purchase agreement.
