Serbia has officially launched a public tender for the construction of a new crude oil pipeline that will connect the Hungarian border with Novi Sad. This initiative, announced by Transnafta, aims to bolster supply security by introducing an alternative import route. The tender encompasses both construction work and expert supervision to ensure the project’s successful execution.
The proposed pipeline will stretch approximately 113 kilometers, traversing regions from Kanjiza through Senta, Ada, Becej, and Zabalj to Novi Sad. It is expected to have an annual capacity of 5.5 million tons and is primarily intended for transporting Russian Export Blend (REB) crude oil. However, due to EU sanctions imposed in late 2022, Serbia has faced challenges in importing Russian oil. The Ministry of Energy has underscored that the project’s significance lies in diversifying energy sources rather than relying on a single supplier. Currently, Serbia’s crude imports predominantly depend on the JANAF pipeline, contingent upon US sanctions not hindering operations. Authorities have completed feasibility studies and spatial planning, with location permits underway; construction is anticipated to commence by mid-year.
In addition to enhancing domestic supply routes, the Ministry highlighted broader regional energy strategies. Hungary and Slovakia currently receive supplies via the southern branch of the Druzhba pipeline. Future connections between Druzhba and the planned Sarmatia pipeline near Brody in Ukraine could facilitate the flow of Caspian oil into Central and Southeastern Europe, further expanding Serbia’s options. While JANAF is likely to remain the primary supply channel in the short term, officials assert that additional routes will strengthen negotiating leverage and mitigate risks associated with dependence on singular sources. Serbia is also considering developing product pipelines with Hungary and Romania to enable transportation of petroleum products without relying on river, rail, or road logistics. A preliminary strategic assessment has been conducted with Transnafta regarding these potential projects.
Industry experts indicate that this new pipeline could also transport non-Russian crude if integrated into suitable points along Druzhba. For instance, Kazakh oil deliveries to Germany’s Schwedt refinery via the northern Druzhba branch reached approximately 1.4 million tons in 2024 and are projected at around 2 million tons by 2025. Economically speaking, transit through JANAF can incur costs up to €48 million annually; however, operating a domestic pipeline is estimated at about €10 million per year. If initiated promptly, this project could be completed within a 20-month timeframe, presenting both financial viability and strategic advantages for Serbia’s energy landscape.
