Nis successfully works on building the Bottom of the barrel

The Pancevo Oil Refinery successfully completed the installation of special equipment within the project for building the facility for the bottom of the barrel with a delayed coking technology, a capital investment project in the second phase of modernization of NIS’s processing capacities.

Two reactors were successfully erected at the construction site, as part of the equipment where coking process will be performed. Both reactors have height of 30 meters and weigh over 200 tons and their construction was a building challenge of its own kind. So far works included successful building of the first refinery column for the bottom of the barrel facility – technological unit (DA-5308) and other 11 units of special equipment.

Currently the building of a coke oven is in the final stage, which represents another key item in the Bottom of the Barrel project.  The oven capacity will be more than 20 MW. Along with these works, there is a series of other construction and installation tasks at the construction site. The activities are performed in accordance with legislation of the Republic of Serbia with the observance of the highest standards for the environmental protection and safety at work. At times, the construction site at Pancevo Refinery employed 700 workers, and as the scope of work of the investment project broadens the number of engineers and workers at the site will increase.

The project Bottom of the Barrel continues the trend of constant modernization of the Pancevo Refinery in order to provide high quality fuels for the Serbian and regional market. This project valued over 300 Million EUR is one of the biggest investment projects in Serbia, and the building of new facilities will begin in the third quarter of 2019. Their operation will provide optimal use of the Refinery’s capacities and increased production of high quality petrol, diesel fuel and liquid petroleum gas, and the beginning of coke production, the product that is currently imported to Serbia. The principal project designer and project manager is international company CB&I. The advantage in the construction was given to domestic contractors, and completion of the facilities in the Refinery will provide new work opportunities.

By implementing this project, NIS continues investing in the improvement of the environmental protection since the commissioning of the new facilities will create conditions for the cessation of the production of fuel oil with high content of sulfur which will enable Serbia to meet its international commitments regarding usage restriction for fuels with high content of sulfur. Further, the Refinery’s energy efficiency will be improved, emission of powdery substances decreased and safety at work improved.


Regarding the project implementation in the Pancevo Refinery, Vladimir Gagic, Director of Refining Block said:

“The modernization of NIS’s processing capacities is one of the strategic priorities in our company. Through the implementation of the project Bottom of the Barrel, the Pancevo Refinery will become one of the most modernized in the Eastern Europe, and the bottom the barrel will be increased from 86 to 99.2% which is in line with the best refineries in the world. For citizens, the construction of new facilities will mean higher quantities of high quality oil derivates in domestic production and, no less important, a numerous ecological aspects of the project that will significantly improve environmental protection as one of the NIS’s irrevocable priorities.”

Olivie Buazar, project manager for the Bottom of the Barrel said:

“The implementation of capital projects such as the Bottom of the Barrel is very complex and brings on various challenges. So far, we have around 1.3 million working hours and the construction site at the field similar in area to two soccer fields employs around 700 workers, eight cranes, tens of trucks and operating machines. This project phase required a lot of effort from all participants and intensive coordination, and works so far show that we are on the good way and we have reasons to be satisfied with the implementation.”


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About NIS

NIS is one of the largest vertically integrated energy companies in Southeast Europe. Its principal activities are exploration, production and refining, sales and distribution of a broad range of petroleum products, as well as the implementation of petrochemical and energy projects. Read more at




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