Szijjarto: Hungary Wants Majority Stake in NIS, MOL Will Not Shut Refinery Down

Oil and gas company NIS (BETAPHOTO/EMIL VAS)

Hungary’s foreign and trade minister Peter Szijjarto stated on Jan. 15 that Hungary wanted to purchase the majority stake in the Serbian Oil Industry (NIS) from the Russian owner, and that MOL would not shut down the refinery in Pancevo.

After a meeting with Serbian Mining and Energy Minister Dubravka Djedovic Handanovic, he stated that this would “definitely” be a majority stake. “MOL wants a majority stake in NIS; the specification of all further figures depends on MOL. We are certainly speaking about a majority stake,” Szijjarto said.

He pointed out that, as the future owner of NIS, MOL viewed the refinery in Pancevo as strategically important and that all stories about MOL buying the market share and intending to shut down the refinery were, as he said, lies disseminated on purpose in order to sow discord. “An agreement will be signed between the governments of Hungary and Serbia, which would contain all the elements of strategic cooperation in the oil industry. The agreement would also include the conclusion that we view the oil pipeline to connect Hungary and Serbia as strategically important,” Szijjarto stated.

He added that, as soon as the first significant agreement is signed between MOL and Gazpromneft, as the owner of the majority stake in NIS, Hungary would immediately address the U.S. Office for Foreign Assets Control (OFAC) and that it hoped the operating license for the refinery would be secured in an accelerated procedure.