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Hungary Seeks to Circumvent US Sanctions on Russian Oil Giants Lukoil and Rosneft
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![Photo of Dariia Mykhailenko]( "Photo of Dariia Mykhailenko")
Hungarian Prime Minister Viktor Orban has announced that his government is actively working to circumvent new US sanctions targeting major Russian oil companies.
According to Reuters on October 24, the sanctions, imposed by US President Donald Trump, directly affect Lukoil and Rosneft.
The restrictions, which were introduced by Trump to pressure Moscow toward a ceasefire in Ukraine, immediately drove up oil prices and created complications for Hungary and Slovakia. Both nations are the European Union's largest buyers of Russian crude after having secured exemptions from EU-wide restrictions.
“We are working on how to circumvent this sanction,” Orban stated in an interview with state radio Kossuth, without providing specific details on the plan. He confirmed he had discussed the issue with Hungary's oil and gas giant, MOL.
MOL's refineries in Hungary and Slovakia, including the Slovak unit Slovnaft, are heavily dependent on Russian crude delivered via the Druzhba pipeline. As reported by Reuters, Slovnaft stated on October 23 that it is analyzing the possible impact of the sanctions, which are set to take effect later in November.
This is not the first time Hungary has faced a challenge with Russian oil deliveries. According to Reuters, last year, MOL encountered problems when Ukraine sanctioned Lukoil. To maintain continuous flow, the company eventually struck deals to take ownership of the affected crude oil volumes directly at the Belarus-Ukraine border.
Earlier, Kuwait’s Oil Minister, Tariq Al-Roumi, stated that the Organization of the Petroleum Exporting Countries is ready to boost oil production should the new US sanctions against Russia’s oil giants, Lukoil and Rosneft, lead to supply shortages in the global market.
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