Industry, Innovation and Infrastructure
Build resilient infrastructure, promote inclusive and sustainable industrialisation, and foster innovation.
Build resilient infrastructure, promote inclusive and sustainable industrialisation, and foster innovation.
In 2023, the NIS Group launched a new ambitious investment cycle aimed at laying the foundation for long-term sustainable business as a leader in the regional energy sector. As part of this plan, numerous projects will be implemented for upgrade, investment in the development and modernisation of infrastructure across all business segments, as well as the digital portfolio of the company.
NIS is actively working on developing modern infrastructure across all levels of its business—from oil and gas exploration and production to customer communication and the development of new products and services.
With that goal in mind, during 2023, investments totalling RSD 39.2 billion were made across all business segments, which represents a 77% increase when compared to the previous year. The highest amount of funds was invested in the area of oil and gas exploration and production. In 2023, this resulted in the drilling of 47 development and 4 exploratory wells in Serbia, and 2 development wells in Romania. Additionally, 42 development and 1 exploratory well were put into operation in Serbia.
The Oil Refinery in Pancevo, as one of the most modern in this part of Europe, is continuously focused on future development and further improvements. The third phase of refinery processing upgrade is currently underway, with a key project involving the reconstruction of the Fluid Catalytic Cracking (FCC) unit and the construction of a new unit for producing high-octane gasoline components (ETBE). In 2023 the company reached the volume of refining of 4.1 million tons of crude oil and semi-finished products and increased the refining depth up to 91.46%. In its further development, the processing complex of NIS focuses on enhancing processing efficiency, digitalisation projects, continuous improvement of energy efficiency, and greater environmental protection.
Infrastructure development continued in the retail sector, and in 2023, NIS launched into operation another 11 new or reconstructed modern facilities. This included the strategically important filling station “Sokolici 2” located on the Milos Veliki highway. The total volume of trade in 2022 was 4 million tons. Furthermore, the company is dedicated to further improving the quality of its products and services, rightfully positioning NIS as a leader in the domestic market in terms of innovative projects in the retail sector.
In 2023, NIS strategically collaborated with HIP-Petrohemija, initiating the integration of HIP-Petrohemija into the NIS system and commencing the modernisation of petrochemical facilities. This aims to establish a long-term successful business model. As the result of this strategic cooperation, after completing the extensive investment programme of modernisation and construction of new production capacities, NIS faces also the diversification and expansion of business within the production segment of petrochemical products. Thanks to the synergistic effect, unification of capacities will contribute to business stability of the overall company’s business operation. In 2023, NIS allocated RSD 2 billion for investment in HIP-Petrohemija, marking an 82% increase compared to 2022. Additionally, RSD 33 million were allocated for environmental protection projects.
At the same time, NIS is implementing digitalisation projects characterised by continuous improvement of business processes and the introduction of digital solutions and technologies aimed at enhancing business efficiency. There were approximately 120 projects in the digital portfolio of the company in 2023.
