A joint Croatian–Montenegrin consortium has emerged as the top-ranked bidder in Montenegro’s long-delayed tender to modernize state-owned oil storage tanks at the port of Bar. The winning bid was submitted by Croatia’s S.A.K.Z. in partnership with several Montenegrin companies, with a total value of 1.74 million euros, narrowly undercutting a competing offer from a Montenegrin–Serbian partnership.
This procurement marks the third attempt to secure a contractor for the refurbishment, which was initially slated to begin in early 2025. The upgrade is considered urgent, as the Bar facilities must meet European Union requirements for safely storing Montenegro’s mandatory oil reserves for emergencies. The project is part of Montenegro’s commitments under Chapter 15 on Energy in its EU accession negotiations and will be financed using European funds.
Under the tender terms, the modernization of the Bar site, which has a capacity of 17,600 cubic meters, is expected to be completed within nine months. The decision comes shortly after the national hydrocarbons authority launched a separate 11 million euro tender for the purchase of up to 16,500 tons of EN 590 diesel fuel, intended for the initial buildup of strategic reserves. To address the lack of alternative storage, the authority has also secured temporary capacity at the port by leasing facilities from Jugopetrol, Montenegro’s largest fuel retailer.
EU rules require Montenegro to maintain oil stocks equivalent to three months of consumption in case of supply disruptions. To support this, the European Union approved 7.5 million euros in funding, including 1.8 million euros specifically earmarked for the refurbishment of the Bar tanks, with the remainder allocated for purchasing the first volumes of fuel. Major fuel importers in Montenegro, including Jugopetrol, INA, and Petrol, have already secured roughly 40% of the required reserves, leaving the remaining 60% to be provided by the state.
