Stephen J. By Bose, Worth News Europe Bureau Chief
Brussels/Kyiv/Budapest (meaningful news) – The European Union moved on Wednesday to extend a 90 billion euro (about $106 billion) loan to Kiev after officials said Russian oil was again flowing to Hungary and Slovakia after months of disruption linked to the war in Ukraine.
Hungarian oil and natural gas giant MOL confirmed that Ukraine had resumed deliveries through the Druzhba pipeline (“Friendship”) shortly after noon local time.
The pipeline was damaged in January amid fighting between Ukraine and Russia, halting supplies for months.
MOL said the first shipments were expected to arrive in Hungary and Slovakia by Thursday.
The restart enabled EU countries to move towards approving a major financial package for Kiev.
EU loan nears approval
Diplomats said the loan received initial support from all 27 member states on Wednesday after months of delays linked to Hungary’s veto.
The Cyprus EU president indicated that final approval was expected on Thursday.
The loan is intended to support Ukraine’s immediate economic and military needs as it continues to defend itself against a full-scale invasion by Russia.
The decision was taken after Kiev announced that the Druzhba pipeline had resumed deliveries of Russian oil to Hungary and Slovakia.
Both countries had previously suggested they could freeze the loan if supplies were not restored.
Pipeline dispute continues
Outgoing Hungarian Prime Minister Viktor Orbán and the Slovak government accused Ukraine of delaying repairs for political reasons, a charge denied by Kyiv.
Loan prospects improved after Orban’s defeat in Hungary’s April elections.
Peter Magyar, leader of the winning Tisza party, indicated that he would not oppose the package once in office.
Magyar had previously urged Ukrainian President Volodymyr Zelensky to reopen the pipeline, saying: “This is not a game.”
He said: “It’s like a dinner invitation – I accept it, and then I start blackmailing him, that if it’s not lecho, I’ll do this and that.”
Druzhba remains the main route
The Druzhba pipeline remains one of the major routes for Russian oil exports to parts of Central and Eastern Europe.
The disruption highlighted the region’s continued dependence on Russian energy despite EU efforts to diversify supplies.
The resumption of flows appears to have helped unlock broader political and financial agreements within the bloc.
EU countries also agreed to a 20th package of sanctions against Russia, which had been delayed due to a dispute with Hungary.
These measures are intended to weaken Russia’s economy and limit its ability to finance the war.
EU supported Ukraine
The EU had initially hoped to adopt the sanctions package early this year to mark the anniversary of the invasion.
Zelensky welcomed the development, calling it “the right sign in the current circumstances”.
He said Russia would have an incentive to end the war only if both support for Ukraine and pressure on Russia were sufficient.
The Ukrainian leader said Kiev was fulfilling its obligations to the EU, including on sensitive issues such as the operation of the Druzhba pipeline.
He stressed that it is important that the aid package is “rolled out rapidly.”
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