Hungary-Serbia Oil Pipeline Pronounced Project of Importance for Our Country

The Serbian government adopted yesterday the Conclusion establishing the Project "Construction of the Hungary-Republic of Serbia Oil Pipeline" as a project of importance for the Republic of Serbia.

The project, as announced, is planned under a list of priority investments as one of strategic projects in the field of oil supply.

– Serbia is supplied with imported crude oil from one direction only, through the Republic of Croatia, through the Janaf oil pipeline, and the construction of the new oil pipeline to Hungary will ensure a safer supply of the domestic refinery, and thus the domestic market – the announcement says.

It is added that the oil pipeline project will enable a potential reduction of the overall costs of crude oil for the end-user, considering the direct connection by pipelines to the source, and at the same time, the costs of transports and the prices of oil products as the final products would be reduced as well.

Also, the project would enable the diversification of crude oil supply routes so that the Republic of Serbia, in addition to the current supply of oil through the Croatian oil pipeline Janaf, would have the possibility of being supplied through the Druzhba pipeline.

Recently, the public enterprise Transnafta Pancevo opened the tender for the preparation of the planning and technical documentation for the construction of this new route for supplying Serbia with crude oil.

The planned transport concept is such that the crude oil which is transported via the south leg of the Druzhba pipeline from Russia, through Ukraine, to the Hungarian refinery Danube near Budapest, is further pumped from the refinery to Algyo and then transported further from Algyo by pumps to Novi Sad (Terminal Transnafta).

From Novi Sad, the oil is further transported to the Pancevo Refinery via the existing oil pipeline Transnafta.

In the territory of Serbia, the oil pipeline would stretch from the border with Hungary (Horgos) to the Terminal Transnafta in Novi Sad.

The new oil pipeline would go from the border with Hungary in the gas pipeline corridor Balkan Stream to Gospodjinci, and then further in the oil pipeline corridor US Tisa – Novi Sad.

The estimated value of the project of the construction of the Serbia-Hungary oil pipeline is EUR 157 million for the Serbian oil pipeline section.

Transnafta ad Pančevo

Vlada Republike Srbije

Transnafta Pančevo

Government of Serbia

Hungary Serbia oil pipeline

Druzhba oil pipeline

JANAF

construction of an oil pipeline

designing of an oil pipeline