NIS agreement to be sped up

An agreement is expected to be signed for the sale of the Serbian Oil Industry (NIS) by December 15, according to daily Politika. Along with the sale, an agreement for the construction of the South Stream gas pipeline through Serbia is expected to be reached with Russia. NIS agreement to be sped up Gaspromneft adviser Dmitry Malishev is due to meet with Serbian officials in Belgrade today to confirm a date for the signing of the NIS deal, construction of the South Stream pipeline, and the completion of the Banatski Dvor reservoir. Despite speculation that the verification of these projects could be postponed until further notice, after it was reported that Gazprom wanted to change the time frame for beginning construction of South Stream because of the international financial crisis, the agreement is expected to be implemented as originally planned in the contracts signed by Moscow and Belgrade, and ratified by the Serbian parliament. State Secretary in the Energy and Mining Ministry Dusan Mrakic confirmed for Politika that the NIS deal would be signed by December 15 at the latest, and that an agreement would also be concluded for the formation of a joint Srbijagas-Gazprom company for the construction of the pipeline and the completion of the Banatski Dvor reservoir. Asked whether there would be a clause in the agreement obliging Gazprom to build the pipeline even after it purchases NIS for EUR 400mn, Mrakic said that Serbia was making problems for itself, not the Russian side. The problem is that Serbia is nine months behind schedule when it comes to launching this big project, given that the arrangement was signed in January. “The public should know that even better conditions have been agreed upon in the negotiations since the signing. And this goes for the sale of NIS, the construction of the Banatski Dvor facility and the pipeline,” Mrakic said. According to Politika, the Russians agreed to finance the Banatski Dvor underground facility and fill it to its full capacity of about 800 million cubic meters of gas. What remains unclear is why the negotiations are not being led by Serbian Energy Minister Petar Skundric and the corresponding Russian ministry, the daily concludes.

NIS agreement to be sped up

Gaspromneft adviser Dmitry Malishev is due to meet with Serbian officials in Belgrade today to confirm a date for the signing of the NIS deal, construction of the South Stream pipeline, and the completion of the Banatski Dvor reservoir.

Despite speculation that the verification of these projects could be postponed until further notice, after it was reported that Gazprom wanted to change the time frame for beginning construction of South Stream because of the international financial crisis, the agreement is expected to be implemented as originally planned in the contracts signed by Moscow and Belgrade, and ratified by the Serbian parliament.

State Secretary in the Energy and Mining Ministry Dušan Mrakić confirmed for Politika that the NIS deal would be signed by December 15 at the latest, and that an agreement would also be concluded for the formation of a joint Srbijagas-Gazprom company for the construction of the pipeline and the completion of the Banatski Dvor reservoir.

Asked whether there would be a clause in the agreement obliging Gazprom to build the pipeline even after it purchases NIS for EUR 400mn, Mrakić said that Serbia was making problems for itself, not the Russian side.

The problem is that Serbia is nine months behind schedule when it comes to launching this big project, given that the arrangement was signed in January.

“The public should know that even better conditions have been agreed upon in the negotiations since the signing. And this goes for the sale of NIS, the construction of the Banatski Dvor facility and the pipeline,” Mrakić said.

According to Politika, the Russians agreed to finance the Banatski Dvor underground facility and fill it to its full capacity of about 800 million cubic meters of gas.

What remains unclear is why the negotiations are not being led by Serbian Energy Minister Petar Škundrić and the corresponding Russian ministry, the daily concludes.