Belgrade (Reuters) - Ahead of a Thursday deadline to prevent U.S. sanctions on oil giant NIS that might cause crude supply shortages, Serbia is in last-minute talks with Russia and the United States, Energy Minister Dubravka Djedovic Handanovic said on Wednesday.



Operating Serbia's only oil refinery in Pancevo, just outside the capital Belgrade, Russia's Gazprom (MCX:GAZP) Neft and Gazprom have interests of 50% and 6.15% respectively in NIS.

On January 10 the United States imposed sanctions on Russia's oil industry and granted Gazprom Neft 45 days to sell NIS. The deadline falls on Thursday, Djedovic Handanovic announced on a live TV broadcast on Wednesday at 0600 local time (0500 GMT).

"We are still negotiating a solution with both the United States and Russia," Djedovic Handanovic added.

An old friend of Russia, Serbia has formally asked the U.S. Treasury Department for a 90-day remission of sanctions so it may evaluate a "sustainable solution that would lead to the lifting of sanctions".

Its oil imports would be seriously threatened without a waiver since NIS, which provides over 80% of the domestic retail market with crude oil and gas derivatives, would not be allowed to import crude oil via Janaf, the pipeline operator for Croatia.

Serbia has been bolstering its fuel reserves. According to Djedovic Handanovic, the government has enough to last the market at least three months.

Citing the advent of the U.S. sanctions, the Belgrade stock exchange BELEX banned trading of NIS shares on Jan. 14.