Natural Gas Provider Srbijagas GM Says US Will Likely Delay Sanctions against Oil Company NIS

Dusan Bajatovic (BETAPHOTO/Dragan Gojic)

Dusan Bajatovic, general manager of state-owned natural gas provider Srbijagas, said on Aug. 26 that the planned US sanctions against oil and gas company Naftna Industrija Srbije (NIS) would be most likely postponed for another period of month or two.

“There will be an extension – for a month, possibly two months. Sanctions are imposed easily, but are difficult to remove. In my opinion, the biggest hope is the agreement reached between US President Donald Trump and European Commission President Ursula von der Leyen. They agreed that Europe had to secure 250 billion (liters/cubic meters) of fuels annually for a period of three years in advance. It is not possible without cooperation with Russia,” Bajatovic told state public broadcaster RTS.

According to him, the USA is the leading producer of gas and oil, but is also the biggest consumer in the world.

Bajatovic also said that the developments in the Middle East had further increased insecurities with fuel supply.

“If they really want to fulfill the agreed energy commitments, they will have to cooperate with Russia. Peace in Ukraine is not conditioned only by ending the war - it is also linked to lifting the sanctions. In that context, it would be unreasonable to go all the way with implementing sanctions,” he said.

Bajatovic noted that at the moment NIS was not facing real financial sanctions, which had seen a fifth postponement expiring on August 27, meaning that the company was functioning without obstacles.