BELGRADE, April 27, 2025 (BSS/AFP) - Serbian President Aleksandar Vucic said on Saturday that the United States has granted a two-month reprieve from sanctions targeting NIS, a Russian-backed energy company operating in Serbia.

NIS, majority-owned by Russia's Gazprom, runs the only oil refinery in Serbia and meets the majority of the country's energy needs.

It was among the companies hit by a broad package of U.S. sanctions against the Russian energy sector introduced in January, as former President Joe Biden was leaving office.

A first one-month postponement was granted at the end of February, followed by a second one-month reprieve at the end of March. The latest two-month postponement is the third such delay, now extending until June 27.

"Good news for the citizens of Serbia. Serbia has managed to secure a new postponement of sanctions against NIS, this time for two months, until June 27. We thank our American partners for understanding Serbia's position," Vucic wrote on his Instagram account.

Earlier this week, NIS announced that it had submitted a new request to the US Treasury for a special licence to delay the full implementation of the sanctions initially scheduled to take effect on April 28 this year.

Since January, negotiations have been ongoing between NIS representatives and the United States, while Vucic discussed NIS with Russian President Vladimir Putin during a phone call on March 7.

"We spoke about political cooperation, but also about how and in what way we can reach a gas agreement before 31 May, and how we can resolve the issue of NIS and the American sanctions imposed on that company," Vucic said at the time.

Serbia has maintained a close relationship with Moscow since the invasion of Ukraine and refuses to impose sanctions, unlike the European Union that it hopes to join.

Vucic had previously stated that if the sanctions were implemented, it would deal a severe blow to Serbia, which relies heavily on Russian gas.

NIS is the sole supplier in Serbia and holds majority ownership of both gas pipelines transporting gas from Russia to Serbian households and industries.

According to the latest data about NIS's ownership structure, Gazprom Neft owns roughly 45 percent of NIS and Gazprom 11 percent, while nearly 30 percent is owned by the Republic of Serbia.

The remainder is owned by current and former employees, citizens of Serbia and minority shareholders.