Hungary in talks with Gazprom for additional gas supplies in 2025

Hungarian FM Szijjártó revealed the ongoing talks with Gazprom and threatened to veto EU sanctions if its Russian oil exemption is revoked.

Oct 15, 2024 - 12:00

Hungary in talks with Gazprom for additional gas supplies in 2025

hungary talks gazprom additional gas supplies 2025 using eu oil exemption loophole hungarian fm péter szijjártó 2017

Hungary is actively negotiating with Russia’s Gazprom for additional gas supplies in 2025, Hungarian Foreign Minister Péter Szijjártó told Russia’s RIA news agency on 15 October, as per Euroactiv. This development comes after Hungary recently signed an agreement for extra gas volumes at competitive prices for the last quarter of 2024.

Russia has long weaponized its gas supplies to pressure Europe, using strategies like reducing flow rates and raising prices. Following Russia’s full-scale invasion of Ukraine, the Kremlin cut gas supplies to force the EU into favorable political decisions. However, this tactic backfired, as the EU drastically reduced its dependency on Russian gas by diversifying its energy sources. The EU sanction package against Russia штсдгвуі an import ban on all Russian seaborne crude oil and petroleum products, with some limited exemptions. Hungary is currently the most pro-Russian EU member state.

Szijjártó stated,

“We have already signed one (additional agreement) for the last quarter of this year, which covers additional volumes at a competitive price. We are currently negotiating a deal for next year.“

He added that the memorandum includes provisions for additional agreements to long-term contracts for future years, guaranteeing price competitiveness.

Additionally, Hungary and Gazprom signed a deal last week allowing full utilization of the TurkStream gas pipeline. This pipeline, completed just before Russia’s invasion of Ukraine, bypasses Ukraine by transporting Russian gas under the Black Sea to Türkiye and then to Bulgaria, where it’s known as Balkan Stream. From there, it continues to Serbia and Hungary.

The Hungarian Foreign Minister emphasized that this deal enables Budapest to increase gas volumes purchased under “all commercial contracts.” Currently, Russia exports natural gas to Europe via two routes: a Soviet-built pipeline crossing Ukraine and the TurkStream. The gas transit deal with Ukraine is set to expire at the end of the year.

Szijjártó warned that Hungary would veto European Union sanctions on Russia if the exemption for Hungary to purchase Russian oil is cancelled. He asserted,

“Sanctions are usually reviewed every six months. And while sanctions are in place, these exceptions must remain in force, because otherwise we will veto the sanctions.”

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