# Zenica steel plant under state control, rescue stalled > Live situation record from CLSTR: https://clstr.news/situations/bosnia-steel-plant-emergency-law > Updated: 2026-08-05T12:37:05.000Z. Sources: 31. Developments: 11. The Federation of Bosnia and Herzegovina continues to wrestle with the future of the state‑owned Nova Željezara Zenica. After unions pressed for an emergency administration law in May, the federal parliament convened an emergency session in early June and passed the legislation intended to prevent bankruptcy and safeguard roughly 1,800 jobs. In late June a gas‑oxygen transfer accident at the Energetika unit injured three workers and heightened concerns about the plant’s viability. The same week the Zenica Municipal Court issued a temporary order suspending any bankruptcy filing to allow the extraordinary‑administration proposal to be examined. A Cantonal Court hearing on emergency administration was scheduled for early July, but on 16 July the municipal court rejected the government’s request to appoint an administrator and the plant offered a free lease of its facilities to the Federation, conditional on job guarantees and a restart of production. The Cantonal Court upheld this decision on 23 July, reiterating that insolvency alone does not meet the legal threshold for emergency management. Premier Nermin Nikšić reaffirmed the government’s rescue plan, including secured iron‑ore and coke supplies and increased budget support, while the majority owner declined the state’s purchase and management proposals on 5 August. Production remains halted as the high furnace undergoes routine maintenance, and the plant stays under state control pending further legal and financial negotiations. In August 2026 the owners again met federal minister Vedran Lakić and rejected two concrete rescue proposals – a state purchase of the majority stake and a state‑financed management model – citing lack of a viable financial plan and calling the offers populist. The government reiterated that the proposals would withdraw any bankruptcy filing and that legal action will continue before the Federation’s Supreme Court, while the plant remains idle under state control. ## Timeline ### 2026-08-05: Zenica Steel Plant Owner Rejects Government Rescue Plans, Workers Remain Protected Nova Željezara Zenica owners rejected two government offers to buy or finance the plant, while minister Vedran Lakić pledged legal action to protect jobs and steel production. 4 sources. https://clstr.news/cluster/bosnias-zenica-steel-plant-owner-rejects-government-rescue-plan ### 2026-07-29: Industrial shutdown in Bosnia and railway fire halt in Serbia Zenica's steel plant confirms Visoka peć has been shut since April 2026 for maintenance, while a fire near the Belgrade–Novi Sad railway in Serbia halts train service. 2 sources. https://clstr.news/cluster/industrial-shutdown-in-bosnia-and-railway-fire-halt-in-serbia ### 2026-07-23: Bosnia's Zenica Steel Plant Remains Under State Control After Court Rejects Emergency Administration Bosnia’s Zenica steel mill will not be placed under emergency administration after the court rejected the government’s appeal, citing insufficient evidence of public benefit; the prime minister vows to continue 12 sources. https://clstr.news/cluster/serbian-opposition-nps-dissolves-vranje-city-board-over-student-rally-dispute ### 2026-07-16: Nova Željezara Zenica rejected for extraordinary administration and offered free lease to Bosnian Federation Zenica court blocks the Federation's plan for extraordinary administration of Nova Željezara Zenica; the plant offers a free lease to the government on condition jobs are kept and steel production restarts. 6 sources. https://clstr.news/cluster/nova-eljezara-zenica-rejected-for-extraordinary-administration-and-offered-free-lease-to-bosnian-fed ### 2026-07-08: Bosnia's New Steelworks Zenica to receive emergency administration amid restructuring talks Bosnia's New Steelworks Zenica faces possible emergency administration as the government seeks to prevent bankruptcy and preserve jobs, with a court decision expected by July 29. 5 sources. https://clstr.news/cluster/bosnias-nova-eljezara-zenica-faces-court-hearing-on-extraordinary-administration ### 2026-06-29: Zenica Court Halts Nova Željezara Bankruptcy Process The Zenica municipal court temporarily suspended the bankruptcy proceedings for Nova Željezara Zenica, allowing review of the Federation government's proposal to place the systemically important steelmaker in a 2 sources. https://clstr.news/cluster/zenica-court-halts-nova-eljezara-bankruptcy-process ### 2026-06-26: Nova Željezara Zenica explosion and fire injures three workers A gas explosion at Nova Željezara Zenica on June 25 injured three workers, prompting a police criminal investigation and on‑site forensic analysis. 6 sources. https://clstr.news/cluster/nova-eljezara-zenica-explosion-and-fire-injures-three-workers ### 2026-06-25: Explosion injures three at Nova Željezara Zenica as plant faces bankruptcy threat A gas‑oxygen transfer explosion at Nova Željezara Zenica injured three workers, one seriously, while the plant also faces a possible bankruptcy that could threaten 1,600 jobs. 4 sources. https://clstr.news/cluster/explosion-and-fire-at-zenica-steel-plant-injure-three-workers ### 2026-06-08: Bosnia passes emergency law to preserve Nova Željezara Zenica steel plant Bosnia's federal parliament approved an emergency law to place Nova Željezara Zenica under special administration, aiming to prevent bankruptcy, preserve jobs and restructure the steel plant. 2 sources. https://clstr.news/cluster/bosnia-passes-emergency-law-to-preserve-nova-eljezara-zenica-steel-plant ### 2026-06-05: Bosnia’s Nova Željezara Zenica Faces Emergency Parliamentary Law to Prevent Bankruptcy Bosnia’s Parliament will vote on an emergency law to put Nova Željezara Zenica under special administration, aiming to stop bankruptcy after its new owner filed for insolvency and removed assets. 2 sources. https://clstr.news/cluster/bosnias-nova-eljezara-zenica-faces-emergency-parliamentary-law-to-prevent-bankruptcy ### 2026-05-23: Bosnian unions demand emergency law to save Nova Željezara Zenica Bosnian unions urge parliament to pass an emergency administration law to prevent the shutdown of the Nova Željezara Zenica steel plant, threatening tens of thousands of jobs. 2 sources. https://clstr.news/cluster/bosnian-unions-demand-emergency-law-to-save-nova-eljezara-zenica --- Cite as: Zenica steel plant under state control, rescue stalled. CLSTR, https://clstr.news/situations/bosnia-steel-plant-emergency-law