The Sjenica plagiogranite occurs in the southern part of the Dinaridic Ophiolite Belt, 5 km northwest of Sjenica. The main minerals are albite with strongly altered biotite (replaced with chlorite), with occasional amphibole (magnesio hornblende to tschermakite) and quartz. An enclave of fine-grained granitic rocks with garnet grains was noted too. Secondary minerals are calcite and chlorite (daphnite). Major, trace and REE geochemistry coupled with field observations support a model by which the Sjenica plagiogranite could be formed by fractional crystallization of mantle origin mafic magma in a supra-subduction zone setting. Occurrences of calcite and chlorite nests in the Sjenica plagiogranites revealed that these rocks underwent hydrothermal alteration due to intensive sea water circulation in a sub-sea-floor environment.