**Serbian Oil Company Linked to Russia’s Gazprom Receives 5th US Sanctions Waiver**
The United States has once again granted a temporary reprieve to a Serbian oil company partly owned by Russian gas giant Gazprom. The waiver, issued by the U.S. Treasury Department’s Office of Foreign Assets Control (OFAC), allows Naftna Industrija Srbije (NIS) to continue operating through August 27.
This is not the first time NIS has received a reprieve from sanctions. In fact, it marks the fifth such extension. The company operates Serbia’s only oil refinery, located in the town of Pancevo near Belgrade. It is worth noting that Russia relies heavily on oil revenues to fund its full-scale invasion of Ukraine.
**Why Oil Revenues Matter**
According to the Kyiv School of Economics Institute, Russian oil revenues are projected to reach a staggering $188 billion in 2025, provided sanctions enforcement remains weak. This highlights the importance of oil as a source of revenue for Russia and the impact that sanctions can have on its economy.
**What’s Next for NIS?**
NIS has already submitted a formal application to be removed from the U.S. Specially Designated Nationals (SDN) list, which is a precursor to lifting sanctions. The company has pledged to cooperate with U.S. authorities and continue operating without disruption. Serbian Energy Minister Dubravka Djedovic Handanovic has also confirmed that Serbia’s top priority remains ensuring a stable supply of oil derivatives.
**Sanctions Lifting Hinges on US-Russia Dialogue**
However, the most important condition for lifting sanctions is progress in the broader dialogue between the United States and Russia. This suggests that any resolution to this situation will require a coordinated effort from both parties.
In conclusion, the latest waiver granted to NIS provides temporary relief but ultimately underscores the complexity of the issue at hand. As tensions between the US and Russia continue to escalate, it remains to be seen how these sanctions will ultimately impact the oil sector and global energy markets.
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