Montenegro’s Ministry of Energy has canceled a second tender for the renovation of state-owned oil storage facilities in the coastal city of Bar, after both submitted bids were found invalid.
The first bid, submitted by the Croatian-Montenegrin consortium S.A.K.Z.-Tibox-Oliver, was disqualified because local partner Oliver-Ing had an unresolved tax debt of 2.22 euros. The second offer, from Serbian company Spring Tech, was rejected due to the absence of a valid bank guarantee. The tender, launched in May, was valued at 1.8 million euros, matching the budget of the initial attempt.
The Bar storage facility has a total capacity of 17,600 cubic meters and is intended to hold Montenegro’s mandatory oil reserves, as required under EU regulations for emergency supply security. The reconstruction is part of Montenegro’s obligations under Chapter 15 on Energy in its EU accession process and will be financed using EU funds. Brussels has already allocated 7.5 million euros for the broader project, of which 1.8 million is earmarked for the Bar facility, while the remainder will fund the construction of initial reserves.
A law passed in November requires Montenegro to secure its full emergency oil reserves by 2029. The Ministry has stated that accumulation should begin in late 2025, once the Bar facility is modernized. However, with no contractor selected and the reconstruction expected to take at least nine months, the country plans to lease storage capacity abroad under three-year contracts in the interim.
In addition to Bar, Montenegro operates other oil depots, including a 24,700 cubic meter site in Bijelo Polje and a 10,000 cubic meter site in Lipci near Kotor. These facilities, managed by Montenegro Bonus, are also awaiting modernization.
