Hungary’s oil and gas company MOL has signed agreements with oil suppliers and pipeline operators to ensure the continuous supply of crude oil via the Druzhba pipeline, also known as Friendship pipeline, from Russia, the Hungarian company said on the local stock exchange’s website on Monday.
The Friendship pipeline runs through Belarus and Ukraine, onward to Hungary and Slovakia.
MOL announced that following the agreements, it will take over ownership of the oil volumes concerned from Russia at the Belarusian-Ukrainian border with effect from Sept. 9, 2024. The updated supply agreements and the new procedure for taking over the oil will be in full compliance with all relevant sanctions and regulations, including those of the EU and Ukraine.
Gabriel Szabó, managing director of the MOL Group’s downstream business unit, said in a statement that the new agreement offers a sustainable solution for the transport of crude oil from Russia via the Friendship pipeline. He described this as an outstanding achievement, as it will allow MOL to continue to use the most efficient and reliable oil processing technology in its refineries in Hungary and Slovakia, and ultimately contribute to the security of supply in both countries.
The Friendship pipeline is a crucial route for Russian oil that splits into two branches. The northern pipeline runs through Belarus, Poland, and Germany, while the southern branch flows through Ukraine.
The northern branch is no longer flowing due to sanctions, while the southern branch is still pumping oil into Europe, reaching Hungary, Slovakia, and the Czech Republic.
