The new oil pipeline linking Hungary and Serbia will be constructed by a consortium led by MVM Južna Bačka, a company majority-owned by the Hungarian state-owned energy group MVM Group, according to the reporting by the Hungarian business news site Világgazdaság.hu. MVM holds 60 per cent of the equity in the company, while the remaining 40 per cent is owned by the Serbian holding company Maneks Group.
The winning bidder was selected by the Serbian state-owned oil transportation company Transnafta.
The contract is worth 14.4 billion RSD (approximately $140 million), and the project is expected to be completed by 2028. Its primary goal is to reduce Serbia’s dependence on oil transit routes through Croatia. Currently, about 90 per cent of Serbia’s crude oil imports arrive via the Adria Oil Pipeline (JANAF).
MVM Južna Bačka will be tasked with carrying out around 43 per cent of the entire project, including the procurement of materials and equipment, energy and automation systems, as well as various mechanical and construction tasks.
The new pipeline will begin in Horgos (Horgoš), near the Hungarian border, and extend to Transnafta’s terminal in Újvidék (Novi Sad). The route will cross the region of Vajdaság (Vojvodina) from north to south.
One of the best-known bidders in the procurement process, Millennium Team, filed a legal objection, arguing that certain conditions in Transnafta’s tender documentation were problematic. The complaint temporarily halted the process. However, Serbia’s Republic Commission for the Protection of Rights in Public Procurement Procedures ultimately rejected the appeal, thus allowing the contractor selection process to move forward.
According to the final ruling, only one eligible bid was submitted for the construction work itself—the consortium that has now been officially announced as the winner. Transnafta stated that the bid satisfied all technical, professional, and quality requirements.
Another major contract related to the project has also been awarded. Technical supervision will be carried out by an international consortium for 459 million RSD (~$4.55 million), led by the Belgrade subsidiary of SGS, the Swiss inspection and certification company formally known as SGS Société Générale de Surveillance SA.
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