Jul 26, 2024, 2:26 PM
Jul 26, 2024, 2:26 PM

Hungary Seeks Resolution with Ukraine Over Russian Oil Dispute

Highlights
  • Hungary and Ukraine are engaged in a dispute regarding the transit of Russian oil.
  • Prime Minister Viktor Orbán's chief of staff has indicated that Hungary aims to resolve this disagreement by September.
  • The resolution is crucial to prevent an impending energy crisis.
Story

BUDAPEST, Hungary (AP) — Hungary is aiming to resolve a contentious issue with Ukraine regarding the transfer of Russian oil by September, as officials warn of a potential energy crisis. Gergely Gulyás, chief of staff to Prime Minister Viktor Orbán, accused Ukraine of "blackmailing" Hungary by blocking the transfer of Russian crude oil, particularly from Lukoil, Russia's largest non-state oil company. This blockade follows Ukraine's recent sanctions against Lukoil, which has raised concerns in Hungary and Slovakia about their energy security. Hungary primarily receives its crude oil through the Druzhba pipeline, which traverses Ukraine and Belarus, with approximately half of its supply coming from Lukoil. The disruption has prompted both Hungary and Slovakia to threaten legal action against Ukraine unless the oil deliveries are reinstated. Gulyás emphasized that the situation is inexplicable and suggested that Ukraine's actions may be retaliatory against the two countries' "pro-peace stance." Orbán, known for his close ties to Russian President Vladimir Putin, has diverged from other EU leaders by refraining from supplying military aid to Ukraine. Hungary has also delayed financial support for Ukraine and has resisted sanctions against Russia. In light of the oil supply issues, Hungary is seeking EU intervention and has warned it may block reimbursements to EU nations providing military assistance to Ukraine until the matter is resolved. While Gulyás acknowledged the risk of fuel shortages due to the blocked deliveries, he reassured that Hungary has sufficient reserves for the time being. He expressed hope for EU assistance but indicated that Hungary may need to explore alternative solutions if the situation does not improve by September.

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