Compromise for Ukraine transit: EU refineries pay Russian Druzhba fees

Compromise for Ukraine transit
EU refiners pay Russian Druzhba fees

The southern branch of the Druzhba pipeline primarily supplies Hungary, Slovakia and the Czech Republic with oil. This usually comes from Russia and flows through Ukraine – allegedly no longer smoothly due to new European sanctions. Two refineries from Slovakia and Hungary step in.

Deliveries of Russian oil via the Druzhba (Friendship) pipeline to Hungary, the Czech Republic and Slovakia may soon resume. Ukraine and Russia have agreed to a compromise, said the spokesman for the Slovak refinery Slovnaft, Anton Molnar. Accordingly, the Hungarian refinery company MOL and its Slovakian subsidiary Slovnaft will initially pay the transit fees to Ukraine. Slovnaft has already made a first payment, Molnar explained.

According to the Russian operating company Transneft, no oil has flowed through the Druzhba pipeline through Ukraine to Europe since last Thursday. The state-owned company had blamed Ukraine for the delivery stop: Accordingly, it requires payment in advance for the transit of Russian oil. However, payments made have been rejected because of new European sanctions, says Transneft. The Ukrainian pipeline operator Ukrtransnafta then completely stopped pumping oil through the southern branch of the Druzhba on August 4 at 6:10 a.m., it is said.

Slovakia’s Economics Minister Richard Sulik assumes that Ukraine will soon open up transit again. “Deliveries will probably resume in the next 24 hours,” he said on Slovak television. Ukrtransnafta received nine to ten million euros from Slovnaft.

Mainly Hungary, Slovakia and the Czech Republic are supplied with oil via the pipeline. The northern branch of the Druzhba pipeline also connects Russia with Germany. This pipeline runs through Belarus and Poland to the Brandenburg border town of Schwedt. Deliveries will continue via this northern route of the Druzhba, Transneft explained.

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