HIP-Petrohemija

HIP-Petrohemija
Native name
ХИП-Петрохемија
Typed.o.o.
IndustryChemicals
PredecessorHemijska Industrija Pančevo (HIP)
Founded8 July 1975 (1975-07-08)
First founded 1968
Headquarters
Spoljnostarčevačka 82, Pančevo
,
Serbia
Key people
Goran Stojilković (Director)
ProductsPetrochemicals
RevenueDecrease €264.50 million (2023)[1]
Decrease (€156.25 million) (2023)[1]
Total assetsDecrease €261.85 million (2023)[2]
Total equityDecrease €194.30 million (2023)[2]
OwnerNIS (90.00%)
Government of Serbia (10.00%)
Number of employees
1,243 (2023)
Websitewww.hip-petrohemija.com

HIP–Petrohemija (Serbian: ХИП-Петрохемија), or simply Petrohemija, is a Serbian petrochemical company, with the headquarters in Pančevo, Serbia.[3] It is majority owned by NIS.

The company owns petrochemical complexes located in Pančevo, Elemir and Crepaja.[4] It specializes in producing HDPE, LDPE and other petrochemical products with an annual production capacity of 700,000 tonnes.[5]

History

In 1962, a Yugoslav industrial giant – "Hemijska Industrija Pančevo" (eng. Chemical Industry of Pančevo") – was founded with headquarters in Pančevo. In 1968, HIP-Petrohemija (for petrochemicals) was split from the company and in 1975 HIP-Azotara (for mineral fertilizers) was separated from the original company.[6]

HIP-Petrohemija was built on the success of HIP-Azotara, and only by 1990, the companies were completely separated. HIP-Azotara never claimed its share in the ownership of HIP-Petrohemija, as both were in the state-ownership.[7]

Due to the international sanctions against the Federal Republic of Yugoslavia, the production in HIP-Petrohemija completely stopped.[8] In 1996, the company facilities started production once again.[8]

In 1999, the company facilities were targeted and bombed during the NATO bombing of Yugoslavia; estimates are that around 460 tons of highly toxic vinyl chloride leaked into the environment as a result.[9]

2004–2021

In 2004, HIP-Petrohemija became a joint-stock company after conversion of debts. In May 2009, HIP-Petrohemija went into the restructuring process; although being one of the largest exporters of Serbia, it posted net loss consistently since 2004.[10]

In June 2014, it was estimated that HIP-Petrohemija has debt of 265 million euros to the Serbian oil company Naftna Industrija Srbije (NIS), and together with debt to the Serbian state-owned gas company Srbijagas owes more than half a billion euros.[11] At the time, the indebted HIP-Petrohemija had 1,760 employees.[11] From 2016 to 2018, Srbijagas has recapitalized HIP-Petrohemija.[12]

In August 2017, debts of HIP-Petrohemija were converted into shares, with the Government of Serbia being the majority shareholder with 76% of shares, and NIS and Lukoil Serbia being the minority shareholders.[13]

Since 2021: NIS takover

On 24 December 2021, NIS increased its stake in HIP-Petrohemija to 90% of shares, after purchasing the majority of stakes from the Government of Serbia for 150 million euros.[14] The sale was finished in June 2023, after the European Commission approved it in September 2022.[15][16][17] In early December 2025, HIP-Petrohemija had to halt production at its refinery due to U.S. sanctions affecting Gazprom-majority-owned NIS, causing an oil shortage. The U.S. Office of Foreign Assets Control granted NIS a temporary operating license on December 31, 2025, under the condition that Gazprom would sell its shares in NIS.[16][18][19]

Activity

HIP Petrohemija owns large petrochemical complexes located in Pančevo, Elemir and Crepaja. These complexes include a number of nine producing plants.[20]

The ethylene plant is located in Pančevo and was established in 1979 and built by United States–based company Stone & Webster and French company French Institute of Petroleum.[21] It produces ethylene, propylene, synthetic rubber, latex, carbon black and gasoline and has an annual production capacity of around 500,000 tonnes.[21] The high-density polyethylene (HDPE) plant is located in Pančevo and was established in 1975 under licence from the former United States–based Phillips Petroleum Company.[22] The plant has two production lines and produces high-density polyethylene or HDPE having an annual capacity of 76,000 tonnes.[22] The low-density polyethylene (HDPE) plant is located in Pančevo and was established in 1979 under licence from the former United States–based National Distillers.[23] The plant has one production line and produces low-density polyethylene or LDPE having an annual capacity of 57,000 tonnes.[23]

The synthetic rubber plant is located in Elemir and was established in 1983 under licence from the former Germany based Buna-Werke Hulls.[24] The plant has three production units and produces synthetic rubber having an annual capacity of 40,000 tonnes, 1,3-Butadiene under licence from Japanese company Nippon Zeon having an annual production capacity of 45,000 tonnes and methyl tert-butyl ether or MTBE under licence from Italian company Snamprogetti having an annual production capacity of 35,000 tonnes.[24] Other production plants include the PVC production plant in Crepaja with an annual capacity of 16,000 tonnes,[25] the polyethylene pipes and fittings plant in Pančevo with an annual capacity of 11,000 tonnes,[26] the chlorine-alkali electrolysis plant in Pančevo built under the licence of the Olin Corporation with an annual capacity of 200,000 tonnes,[27] a water treatment plant in Pančevo and a utility plant that produces energy fluids.

Market and financial data

In 2017, after years of insolvency, HIP-Petrohemija made record 341.48 million euros of net profit.[28][29] This tremendous trend turnover was achieved through debt write off and debt-to-shares conversion by the Government of Serbia.[28] In 2024, HIP-Petrohemija reported a loss of RSD7.7 billion, which increased to RSD10.3 billion in 2025.[16]

References

  1. 1 2 "Bilans uspeha (2023) - HIP-Petrohemija". apr.gov.rs (in Serbian). Retrieved 15 May 2024.
  2. 1 2 "Bilans stanja (2023) - HIP-Petrohemija". apr.gov.rs (in Serbian). Retrieved 15 May 2024.
  3. ↑ "Getting the deal done, Introduction: Serbia's beleaguered pethem player is in dire need of investment and a secure future. With Gazprom securing NIS, another purchase seems logical". Allbusiness. 2009. Retrieved 2010-09-22.
  4. ↑ "Who We Are". HIP Petrohemija. 2010. Archived from the original on 2010-12-09. Retrieved 2010-09-22.
  5. ↑ "Petrohemija profile". HIP Petrohemija. 2010. Archived from the original on 2010-12-09. Retrieved 2010-09-22.
  6. ↑ "PANČEVO: 55 godina od početka rada HIP Azotare" (in Serbian). 27 November 2017. Retrieved 13 May 2024.
  7. ↑ "Azotara Pančevo – majka Petrohemije". politika.rs (in Serbian). 10 September 2012. Retrieved 13 May 2024.
  8. 1 2 "Istorija". hip-petrohemija.com (in Serbian). Retrieved 15 May 2024.
  9. ↑ Vučetić, Marija (17 April 2024). "Posledice bombardovanja – Pančevo". ekostraza.com (in Serbian). Retrieved 15 May 2024.
  10. ↑ "Počelo restrukturiranje Petrohemije". b92.net (in Serbian). Beta. 30 May 2009. Retrieved 15 May 2024.
  11. 1 2 "Pomoć "Petrohemiji" u otplati dugova". rts.rs (in Serbian). 13 June 2014. Retrieved 15 May 2024.
  12. ↑ Đaković, Petrica (20 September 2023). "Nužna preuzimanja". nin.rs (in Serbian). Retrieved 15 May 2024.
  13. ↑ "'Petrohemiji' dugovi delimično otpisani, a delimično prebačeni u kapital". novaekonomija.rs (in Serbian). 16 August 2017. Retrieved 15 May 2024.
  14. ↑ "Preuzeta Petrohemija". b92.net (in Serbian). Tanjug. 24 December 2021. Retrieved 24 December 2021.
  15. ↑ "Commission OKs plant acquisition by Serbian Gazprom-owned oil company". Retrieved 2026-04-20.
  16. 1 2 3 Bajic, Valentina (2026-02-04). "Serbia's NIS-owned HIP Petrohemija to restart production | Serbia Investments News | SeeNews". seenews.com. Retrieved 2026-04-20.
  17. ↑ "Petrohemija Gains a Strategic Majority Owner: NIS Acquires a 90% Stake". Petrohemija. Retrieved 2026-04-20.
  18. ↑ "US sanctions hit Serbian oil firm NIS' operations despite waivers". The Straits Times. 2025-04-09. ISSN 0585-3923. Retrieved 2026-04-20.
  19. ↑ "Serbia's Russian-owned NIS oil company secures another US sanctions waiver". Retrieved 2026-04-20.
  20. ↑ "Plants". HIP Petrohemija. 2010. Archived from the original on 2010-12-09. Retrieved 2010-09-22.
  21. 1 2 "Ethylene Plant". HIP Petrohemija. 2010. Archived from the original on 2010-12-09. Retrieved 2010-09-22.
  22. 1 2 "High Density Polyethylene (HDPE) Plant". HIP Petrohemija. 2010. Archived from the original on 2010-12-09. Retrieved 2010-09-22.
  23. 1 2 "Low Density Polyethylene (LDPE) Plant". HIP Petrohemija. 2010. Archived from the original on 2010-12-09. Retrieved 2010-09-22.
  24. 1 2 "FSK - Synthetic Rubber Plant". HIP Petrohemija. 2010. Archived from the original on 2010-12-09. Retrieved 2010-09-22.
  25. ↑ "PANONIJAPLAST - Compound Production Plant". HIP Petrohemija. 2010. Archived from the original on 2010-12-09. Retrieved 2010-09-22.
  26. ↑ "PETROPLAST - PE Pipes and Fittings Plant". HIP Petrohemija. 2010. Archived from the original on 2010-12-09. Retrieved 2010-09-22.
  27. ↑ "ELECTROLYSIS - Chlor-Alkali Electrolysis Plant". HIP Petrohemija. 2010. Archived from the original on 2010-12-09. Retrieved 2010-09-22.
  28. 1 2 Bulatović, S. (12 September 2018). "LISTA "STO NAJ": "Petrohemija" dobitnik posle otpisa duga". novosti.rs (in Serbian). Retrieved 24 September 2018.
  29. ↑ "СТО НАЈ... ПРИВРЕДНИХ ДРУШТАВА У РЕПУБЛИЦИ СРБИЈИ У 2017. ГОДИНИ" (PDF). apr.gov.rs (in Serbian). Belgrade. 12 September 2018. pp. 14, 15. Retrieved 24 September 2018.
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