NIS operations in 2022

Preserved stability of the domestic market and continued modernization of the NIS Group

NIS successfully achieved its priorities in 2022. In the conditions of market instability and in a challenging macroeconomic environment, the regular supply of the domestic market with all types of fuel was preserved and further modernization of the NIS Group continued. Thus, NIS invested RSD 22.1 billion in development projects last year, which is 9 percent more in comparison to the capital investments in 2021. NIS has remained one of the largest budget providers in the Republic of Serbia, considering the fact that the calculated liabilities for taxes and other public revenues amount to RSD 231.7 billion, which is 22% more than the previous year.

Last year for NIS was also marked by record results in the field of refining and sales and distribution. In total, 4.42 million tonnes of crude oil and semi-finished products were processed in the Pančevo Oil Refinery, which is the best achievement since 2009 (66% more compared to 2009) and 12% more than the volume of refining in 2021. In the field of sales and distribution, NIS managed to respond to the increased market demand, but also to continue with the modernization of the retail network. The total sales turnover of petroleum products in 2022 amounted to 4.36 million tonnes, which is 8 percent more than in the comparative reporting period. During last year, NIS commissioned 10 modernized petrol stations, including state-of-the-art highway facilities. In addition, improvements in the field of additional products assortment continued, and NIS is also the largest chain of cafes in Serbia with more than 300 sales locations. In the field of logistics, 121 new tank trucks were purchased, which improves the efficiency and safety in the field of transport of petroleum products.

When it comes to exploration and production, the plan was realized and a total of 1.17 million conditional tonnes of oil and gas were produced. In the field of energy, NIS and its partners started the production of electricity from gas in CCPP Pančevo and thus further contributed to the energy stability of Serbia because all the produced energy is delivered to the domestic distribution system. In addition, the realization of the project of the construction of solar panels at selected NIS petrol stations has started, which, in addition to the financial effects, achieves positive environmental effects as well. The development of this project will continue in 2023.

Additionally, in 2022, NIS continued to provide a strong contribution to the development of the community and the improvement of environmental protection. NIS invested RSD 360 million in socially responsible projects, while almost RSD 315 million was invested in the implementation of environmental projects.

Kirill Tyurdenev, the CEO of NIS, stated: “In an extremely volatile environment, we have implemented all our priority tasks. We have preserved the stability in the domestic market and continued the energy transition and modernization of the NIS Group, while taking care of the social stability of our employees. Now, we are taking a step further and for 2023 we have planned an ambitious investment portfolio, twice as valuable as the capital investments from 2022. We are aware of the challenges that await us, but our business model gives good results, and the achievements from 2022 give us a good basis to continue with successful work in the period ahead.”