Montenegro has embarked on a substantial upgrade of its oil storage infrastructure located at the port of Bar, with the objective of bolstering its emergency fuel reserves and enhancing overall energy security. This initiative is pivotal for the country to fulfill its commitments regarding mandatory oil stocks, which are essential during supply disruptions.
The project, confirmed by Energy Minister Admir Šahmanović, has secured financial backing from the European Commission, which has allocated €2.2 million as part of a larger support package totaling €7.5 million. This funding will facilitate both infrastructure enhancements and the initial filling of reserves, underscoring the importance of this initiative in the broader context of energy policy in Montenegro.
Expected to take approximately six months, the reconstruction will increase storage capacity at Bar by around 17,600 cubic meters. This expansion is crucial for Montenegro to meet EU regulations, ensuring that the country can maintain reserves adequate for roughly three months of consumption in the event of supply interruptions.
The construction efforts are being carried out by a regional consortium comprising companies from Montenegro and Croatia. This group secured the contract in late 2025 with a bid amounting to €1.74 million, following two previous unsuccessful attempts at procurement.
However, delays in upgrading the Bar facility have already impacted Montenegro’s plans for procuring fuel for its strategic reserves. Recently, authorities had to cancel a diesel purchase tender valued at €11 million due to necessary adjustments in response to rising global oil prices linked to ongoing tensions in the Middle East.
This postponement has subsequently delayed the timeline for establishing Montenegro’s strategic oil reserves, making the completion of the Bar upgrade an essential step toward ensuring stable fuel supplies and aligning with European energy security standards.
