State Department on Sanctions Against NIS: Sanctions Targeting Russia, Not Serbia

State Department (Photo: YTPrintScreen)

The United States of America has introduced sanctions against Serbian oil company Naftna Industrija Srbije (NIS) because it is owned or controlled by Russian oil company Gazprom Neft, the U.S. Department of State said in a news release late on Oct. 9.

U.S. President Donald Trump clearly said that the European partners must stop using Russian fuel - because that prolongs the war in Ukraine, reads a reply sent to the Nova website (nova.rs).

NIS has been majority-owned by Russia since 2008, with the biggest stake - 44.9 percent - controlled by Gazprom Neft, 29.9 percent by the Republic of Serbia, and the rest by small shareholders.

In the spirit of cooperation, the U.S. had postponed the implementation of sanctions for almost nine months, says the State Department, adding that it is in close contact with the Serbian partners regarding the matter and "we appreciate their coordination with us." It also said the sanctions targeted Russia rather than Serbia.

The U.S., according to the State Department, encourages Serbia to take steps to find a solution for taking control of its key energy resources.

That is an opportunity for Serbia to achieve greater energy independence and a stronger economic future, reads the State Department's reply.

The Department of State also said it expected that elimination of Russian control of NIS would increase Serbia's energy security and incite investment and prosperity throughout the region.

The reply underlined that the U.S. remained committed to its partnership with Serbia, in order to diversify its energy sector, which would contribute to Serbia's economic empowerment.

The State Department also quoted Secretary of State Marco Rubio, who said that the U.S. was committed to a mutually beneficial relationship with Serbia that would drive economic growth and benefit the citizens of both countries. The U.S. deeply appreciates Serbian President Aleksandar Vucic's similar commitment, reads the reply to Nova's inquiry about the U.S. sanctions against NIS.