Montenegro is set to receive its first reserves of petroleum products in the first half of next year, backed by an allocation of 7.5 million euros from the Ministry of Mining, Oil and Gas. This initiative aims to enhance supply security during market disruptions, similar to those experienced in previous crises, although it will not directly impact fuel prices.
After a decade of delays, Montenegro is on the verge of adopting a law that facilitates the formation of oil reserves. Zorana Sekulic from the Ministry indicated that the legislation is currently in parliamentary procedure and is expected to be passed by the end of this month. Following this, efforts will shift to adapting storage tanks and procuring initial quantities of petroleum products, with financing provided through the European Union’s support package for Western Balkan countries, rather than the state budget.
A tender for the necessary work is anticipated to be published soon, enabling the reconstruction process to begin once contractors and supervisors are selected. The first reserves are projected to be acquired in the first half of next year. Of the planned 100,000 tons of oil reserves, half will be managed by the Hydrocarbons Administration, while the remaining will be overseen by the largest oil companies.
The total cost of the reserves will depend on market prices and will take several years to complete. The Association of Oil Companies has suggested that more than just the four largest importers should be included in the process to enhance market competitiveness regarding storage capacity. However, the Ministry maintains that its approach facilitates better control over reserves for use during market disruptions.
By establishing these oil reserves, Montenegro aims to secure supply for at least three months and fulfill a key criterion for closing Chapter 15—Energy—of its EU accession negotiations.
