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Brussels (The Brussels Morning Newspaper) – The European Commission has declined to mediate between Hungary, Slovakia, and Ukraine in regards to the sanctions Kyiv imposed on the Russian oil firm Lukoil, in accordance with an EU spokesperson. This resolution leaves the 2 EU member states with none exterior backing from Brussels.
The European Commission has rejected Hungary and Slovakia’s request that it negotiate a session process with Ukraine over sanctions imposed by Kyiv on Russian oil producer Lukoil (LKOH.MM). “Commission companies have preliminarily concluded that pressing consultations don’t look like warranted,” the spokesperson acknowledged.
The spokesperson expressed Brussels had no indication Ukraine’s sanctions had rendered a danger to European safety of vitality provides, since Russian oil was nonetheless flowing by way of the Druzhba channel that hyperlinks Russia, through Ukraine, to the Czech Republic, Slovakia and Hungary. “It seems that the sanctions imposed by Ukraine on Lukoil don’t contain ongoing oil transit operations through Druzhba carried out by buying and selling companies, so long as Lukoil will not be the authorized proprietor of the oil,” the spokesperson acknowledged.
How Is the Lukoil Sanctions Dispute Affecting European Energy Security?
Ukraine’s sanctions on Lukoil have problematized Hungary and Slovakia’s capacity to import Russian oil, a vital provide route for each nations. Hungary imports 70% of its oil from Russia, with about half of that arriving from Lukoil. This quantities to 2 million tons of crude yearly, substituting one-third of Hungary’s oil imports. Foreign Minister Péter Szijjártó famous that Ukraine’s aim is to chop off one of many Kremlin’s major income streams, notably essential over two years into Russia’s full-scale invasion of Ukraine. However, Hungary’s reliance on Russian oil raises fears of provide shortages.
Slovakia and Hungary – two nations which have opposed Western allies’ army help to Ukraine because it fights Russia’s invasion – have complained to Brussels about Kyiv’s transfer to place Lukoil on its sanctions record, saying it stopped them from buying Russian oil for his or her refineries, endangering the safety of provide.
Hungarian Prime Minister Victor Orban’s spokesperson didn’t instantly react to a request for remark. Hungary provided extra info on the problem to the EU Commission this week, which the EU Commission acknowledged it would now analyse. The Druzhba oil pipeline has remained functioning following Moscow’s assault on Ukraine in 2022, even because the EU weaned itself off most different sources of Russian vitality.
