BAKU, Azerbaijan, September 26. The agreement signed by the State Oil Company of Azerbaijan (SOCAR) and Serbia’s Srbijagas on September 26 in Belgrade on the purchase and sale of an additional 1 million cubic meters of Azerbaijani gas per day during the autumn-winter period of 2024-2025 fits into Serbia's strategy to diversify gas sources, an insider source told Trend.
"In winter, Serbia's daily demand for natural gas exceeds 10-14 million cubic meters, while in normal times it is 8-9 million cubic meters per day. Serbia receives gas from the Russian Federation, and part of the gas is pumped into the Banatski Dvor gas storage facility, but in the autumn-winter period, Serbia may experience a gas deficit of up to 3-4 million cubic meters per day. Azerbaijani gas may be used to cover part of the deficit," the source noted.
On November 15, 2023, the State Oil Company of Azerbaijan (SOCAR) and Serbia's Srbijagas signed an agreement for the supply of Azerbaijani gas to Serbia. Under the agreement, up to 400 million cubic meters of gas will be delivered annually from Azerbaijan to Serbia between 2024 and 2026, with the option to increase volumes starting in 2027.
Additionally, Serbia purchased just over 23 million cubic meters of natural gas from Azerbaijan (data from the State Statistics Committee of Azerbaijan) worth about $8 million in February through June 2024.
"The new agreement signed today shows that Azerbaijan is of interest to Serbia as a reliable partner in covering its gas needs," the source added.