Breaking – Ukraine clarifies position: Russian oil transit to Europe will continue through 2029

In a surprising turn of events, Mykhailo Podolyak, advisor to Ukrainian President Volodymyr Zelensky, initially stated in an interview on Friday that Ukraine would completely halt Russian oil and gas transit to Europe starting 1 January 2025. This announcement, first picked up in Hungary by HVG, suggested that the Druzhba pipeline would cease operations, a move that would have caused significant disruptions for several EU countries, including Hungary.

Ukraine clarifies

Mykhailo Podolyak
Mykhailo Podolyak, adviser of Ukrainian President Volodymyr Zelensky. Source: Wikimedia Commons/Office of the President of Ukraine

The statement triggered an immediate response, resulting in notable market impacts, such as a sharp drop in MOL’s stock value. However, by the afternoon, Podolyak reversed his statement, contradicting his earlier claims, 444.hu writes in its report.

According to Ekonomicsna Pravda, Podolyak clarified that Ukraine remains committed to fulfilling its obligations related to Russian oil transit for as long as the relevant agreements are valid. He emphasised that Ukraine will adhere to bilateral agreements made with European countries and continue transporting oil through the Druzhba pipeline until these contracts expire, which is expected by the end of 2029.

He also reiterated Ukraine’s support for the European Commission’s efforts to encourage EU countries still dependent on Russian oil to seek alternative sources.

While oil transit via the Druzhba pipeline seems secured for now, the situation with gas is different. The Russian-Ukrainian gas transit agreement is set to expire at the end of this year, and Ukraine has no plans to renew it. Though this raises concerns about the stability of gas supply and potential price hikes, Podolyak hinted that gas could still flow through Ukrainian pipelines under new terms.

He noted that Ukraine remains open to transporting non-Russian gas, such as Kazakh or Azerbaijani supplies, provided that logistical needs and contractual agreements are met. This would define Ukraine’s precise role in the transit process moving forward.

Read also:

2 Comments

  1. There we have it. “As long as the contracts are valid”, however no appetite from Ukraine to renew, renegotiate, etc.

  2. These people are total gangsters. Loose canons. We need to dissociate ourselves from Ukraine in every way.

Leave a Reply

Your email address will not be published. Required fields are marked *