Djedovic: Serbia needs to diversify its oil supplies

BELGRADE - Serbian Minister of Mining and Energy Dubravka Djedovic met with Transnafta AD Pancevo Acting Director Bogdan Kuzmanovic on Thursday to discuss a project to build an oil pipeline from Novi Sad to Hungary to connect Serbia to the Druzhba pipeline and improve its oil supply security.

According to a statement released by her ministry, Djedovic said that, amid a global energy crisis, reviewing all possibilities and investments required for securing energy and fuel supplies and boosting Serbia's energy security was the most important task.

"Like what we are doing to diversify natural gas supplies, diversification of oil supplies is very important, and preparations are well underway for a project to build a new oil pipeline that will connect us to the oil pipeline system in Hungary. That will fully ensure security of supplies to the Pancevo oil refinery and diversify oil supply routes," Djedovic said.

Bogdanovic informed the minister of progress of discussions with the Hungarian oil company Mol on coordinating the technical aspects of building the pipeline, which will ensure 5.5 mln t of oil to Serbia every year.

In the coming weeks, Serbia and Hungary are due to sign a memorandum on cooperation to build the pipeline, the statement also said.

The meeting also addressed priority Transnafta investments and plans to build new interconnectors, oil pipelines and refined products pipelines that will connect Serbia with neighbouring countries and boost its oil supply security.