The Hydrocarbon Authority of Montenegro is set to initiate a third tender for the procurement of mandatory diesel reserves by the end of September. This follows the cancellation of a previous procurement effort, which had an estimated budget of €11 million. The earlier attempt was thwarted due to rising international fuel prices, which limited the volume of diesel that could be acquired within the allocated funds.
The state is tasked with procuring 60% of the required mandatory reserves, while private operators such as Jugopetrol, INA Crna Gora, and Petrol Crna Gora are responsible for the remaining 40%. Reports indicate that these private entities have completed their diesel purchases.
Initially, the state planned to procure around 16,500 tonnes, or approximately 19.6 million litres, of diesel. However, price fluctuations are expected to have reduced the available quantity by about 6 million litres under the previous budget constraints.
The Hydrocarbon Authority aims to finalize and store the first quantities of state-owned reserves by the end of 2026. Until this objective is achieved, Montenegro will remain vulnerable to potential supply disruptions and fluctuations in fuel prices compared to nations with established physical reserves.
The forthcoming tender will need to address various factors including volume, storage solutions, fuel quality, delivery schedules, and pricing mechanisms. Should this new procurement attempt also fail, there may be increased demands for a larger budget or an alternative phased acquisition strategy.
