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Montenegro Initiates New Diesel Procurement for Strategic Oil Reserves

In a significant move to bolster its energy security, Montenegro has reactivated a public procurement process aimed at acquiring 16,500 metric tons of diesel fuel, which translates to approximately 19.6 million liters. This procurement is part of the country’s initiative to establish mandatory oil reserves, with an estimated contract value of 11 million euros.

The tender outlines specific requirements for the EN 590 diesel to be sourced without any crude oil from the Russian Federation. Additionally, if the fuel originates from a third country that was not a net exporter of crude oil in 2024, it must not exceed an age of 60 days, according to data from the International Energy Agency (IEA).

A previous attempt to procure diesel in December 2025 was unsuccessful, as the only bid from Jugopetrol did not fulfill formal criteria. Under the new procurement procedure, quality assurance will take place at the Port of Bar, where laboratory analyses will ensure compliance with both national and European standards, including adherence to MEST EN 590. An independent Type A inspection body accredited under MEST EN ISO/IEC 17020 will handle certification.

The diesel must conform to the latest specifications outlined in EN 590, including a maximum sulfur content of 10 ppm and a cold filter plugging point (CFPP) no higher than -15°C. It is also required that visual inspections confirm that the fuel is clear, free from water, and devoid of sediment.

This procurement process allows for bids until 11 March 2026, reflecting a tightened timeline driven by Montenegro’s obligation to establish compulsory oil reserves—a critical milestone as the country seeks to close Chapter 15 (Energy) in its EU accession negotiations.

The urgency surrounding this initiative is further amplified by a storage agreement signed on 4 December 2025, which stipulates that if reserves are not delivered within six months, the storage provider may terminate the agreement. Once a winning bidder is selected, delivery to storage facilities can commence only after a waiting period of 60 days.

MontenegroBonus, which operates state-owned storage facilities, has yet to complete necessary upgrades; therefore, initial diesel reserves will be stored at facilities owned by Jugopetrol. The legal framework governing these mandatory reserves was established with the adoption of the Law on Security of Supply of Petroleum Products at the end of 2024. This law mandates that the state secures 60% of required reserves while private distributors—including Jugopetrol, INA, and Petrol—are responsible for providing the remaining 40%.

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