S&P warns that the surge in energy prices could affect Hungary's credit rating
S&P's top analyst warned on Wednesday that Hungary's investment grade credit rating may be threatened if energy prices continue to rise. Frank Gill, S&P’s lead sovereign analyst for EMEA, said that if gas prices were to rise as they did after Russia invaded Ukraine in 2022, it would cause a severe deterioration of Hungary’s current account, increase inflation, and damage its currency. Gill stated that the "extremely generous "?subsidies are in place to prepare for its April 12th election. S&P has rated Hungary at 'BBB+', which is one notch higher than junk?territory.
EU considers gas price cap as a way to control rising energy costs
The European Union is considering measures to?reduce energy prices. This includes capping gas price, said European Commission President Ursula von der Leyen on Wednesday. Before the Iran War caused oil and gas to surge, Brussels was drafting proposals for industries who claim that high energy costs make it impossible to compete with their rivals in China or the United States. The EU's electric system is set up so that the price of electricity is determined by the last power station needed to meet the total demand. Gas plants are often the last power plant needed to meet total demand.
carried Ukrainian and Russian oil before attack
The Druzhba pipeline exported some Ukrainian oil, as well as much higher volumes of Russian crude, before it was damaged a month ago by a Russian strike that has led to a halt in supply, three industry sources familiar with the matter said.Oil shipments to Hungary and Slovakia through the pipeline primarily operated by Russia have been suspended since January 27 following what Kyiv says was a Russian attack on pumping installations in western Ukraine, prompting a dispute within the European Union and…
Hungary Accuses Ukraine of Plans to Disrupt National Energy System
Hungary's Prime Minister Viktor Orban accused Ukraineon Wednesday of planning to disrupt the Hungarian energy system, and dispatched troops to safeguard infrastructure, escalating a dispute that has undermined Europe's pro-Ukraine consensus.Hungary and Slovakia, whose leaders are outliers in the EU for maintaining relations with Moscow, blame Kyiv for an outage on the Druzhba oil pipelinethat supplies their refineries with Russian crude pumped through Ukraine.Kyiv says the pipeline was damaged by a Russian drone attack in January and it is fixing it as fast as it can.Orban…
MOL Orders Alternative Oil to Supply Hungary, Slovakia Refineries
Hungary's MOL group has ordered tankers delivering Saudi, Norwegian, Kazakh, Libyan and Russian oil to supply its Hungarian and Slovak refineries and halted diesel supplies to Ukraine as it scrambles to overcome an outage of the Druzhba pipeline, officials said on Wednesday.MOL's refineries, the last in the EU to receive Russian oil through Druzhba, have struggled since a supply halt that Ukraine says was due to a Russian attack that damaged the pipeline infrastructure on January 27.The refineries plan to start tapping state oil reserves, with the Slovak government approving on Wednesday a loan of 250,000 tonnes.Both count
EU: Hungary, Slovakia to See No Short-Term Oil Supply Risk
The European Commission sees no short-term risk to the security of oil supplies in Hungary or Slovakia following the disruption of Russian oil flows via Ukraine because both EU countries have ample emergency stocks, a Commission spokesperson said on Tuesday.Slovakia's government also said its domestic fuel supply was not under threat, alleviating fears of an immediate fuel crunch after Kyiv's foreign ministry last week said a Russian attack on a Ukrainian pipeline was responsible for the halt to Russian…
Hungary, Slovakia Turn to Croatia to Secure Russian Oil
Hungary and Slovakia have asked Croatia to help them secure Russian oil and Hungarian company MOL initiated the release of strategic crude reserves after disruption to flows via Ukraine that the two countries have blamed on Kyiv.Kyiv's foreign ministry last week said a Russian attack on a Ukrainian pipeline was responsible for the halt in flows to Eastern Europe since January 27.Ukrainian Foreign Minister Andrii Sybiha posted a photo on X of firefighters and what he said was Druzhba pipeline infrastructure burning…
Hungary announces $157 million scheme to reduce heating costs before election
The government of Hungary will partially reimburse households for higher heating costs in January, due to an increase in demand during 'freezing' temperatures. This cost is 50 billion forints (157.14 millions dollars), and adds to the large-scale expenditures ahead of an election scheduled for April. According to the most recent polls, Prime Minister Viktor Orban has been in power since 2010. His right-wing Fidesz is trailing the centre-right opposition?challenger Tisza. Eurobarometer's December survey showed that the cost of living was the top domestic concern…
Orban: US involvement in Venezuela is good for energy markets
The U.S. decision that led to the ouster of Venezuelan President Nicolas Maduro should have a positive effect on the world's energy markets, said Hungarian Premier Viktor Orban on Monday. He added that both Venezuela and the U.S. would control half of all global oil reserves. Special Forces, the largest U.S. intervention since 1989's invasion of Panama in Latin America, swooped in on Caracas with helicopters over the weekend to apprehend Maduro and then take him to New York for a drug charge. Orban's ally Donald Trump of the United States, who exempted Hungary for 2026 from U.S.
Minister: Chevron will supply Hungary with 2 billion cubic meters of LNG
The state-owned MVM Group in Hungary has signed a five-year contract with the?U.S. The?Hungarian?foreign ministry announced on Tuesday that energy company Chevron will supply 2?billion cubic metres of liquefied gas. Budapest is trying to diversify supplies despite angering other European Union members and NATO members. Budapest is opposed to the 'EU's agreement to phase out Russian imports by 2027. This will end the blocs energy dependence on Moscow that has lasted for decades. We are interested in buying energy from as many different sources as possible and through as many different routes as we can…
Turkstream transactions are not subject to US sanctions, Hungary claims
Peter Szijjarto, Hungary's Minister of Foreign Affairs, said that the company operating TurkStream will be able to do business in Hungary?without problems? thanks to an agreement reached with Washington. Hungary continues to depend on Russian energy, despite the conflict in Ukraine and Western sanctions. This has prompted criticism from several European Union and NATO allies. Szijjarto, during a Facebook broadcast in Moscow, said that the TurkStream Pipeline will continue to run 'without interruption in the next?period regardless of any legal or?financial attack.
Next week, Orban will meet with Trump to discuss oil sanctions
Peter Szijjarto, the Foreign Minister of Hungary, said that Viktor Orban would discuss U.S. Sanctions on Russian Oil Companies and other topics when he meets Donald Trump next week in Washington. Trump, an ally of Hungary's leader, has imposed sanctions against Russia for the very first time during his second term. He targeted Rosneft and Lukoil, in order to press Moscow into a ceasefire agreement in Ukraine. Trump's decision has raised questions for Hungary, Slovakia and other European Union countries that are the largest buyers of Russian crude oil. They were exempted from EU restrictions after they secured exemptions.
Urals Crude Differentials Steady; Russia Ships Oil to New Georgia Refinery
Urals crude differentials were steady again on Tuesday, while Russia has supplied a first oil cargo to the newly built Kulevi oil refinery in Georgia this month, according to LSEG ship-tracking data and industry sources.According to LSEG and a trader, the tanker Kayseri delivered 105,340 metric tons of Siberian Light oil grade from the Russian Black Sea port of Novorossiisk to the Kulevi Oil Terminal on October 6.Hungarian oil and gas company MOL was gradually restarting units at its Danube refinery following a late Monday fire at one of the plant's crude units.PLATTS WINDOWNo bids or offers were reported in the Platts win
Slovakia's Fico wants to find a 'common ground" with the US over Russian energy supplies
Robert Fico, the Slovak prime minister, said that Slovakia expected to find "common grounds" with the United States following pressure to stop Russian energy purchases. He defended receiving supplies in Moscow. The European Union wants to isolate Russia in anticipation of its invasion of Ukraine in 2022 and has halted purchases of Russian fuel, which could provide revenue for the war. Donald Trump, the U.S. president, has said that he also wants to see an end to Russian energy purchases by the European Union.
Russian Oil Supplies to Hungary and Slovakia Halted After Ukraine Attack
Russian oil supplies to Hungary and Slovakia could be suspended for at least five days after a Ukrainian strike on a facility in Russia, Hungarian and Slovakian officials said on Friday, in a widening of the fallout of Russia's war in Ukraine.Russia and Ukraine have stepped up attacks on each other's energy infrastructure, hitting Ukrainian domestic heating supplies, Russia's Druzhba pipeline and other facilities, over the past few weeks as U.S. President Donald Trump has pushed for a deal to end the…
Hungary's Orban calls on EU to lift Russian energy ban amid US/Iran conflict
Hungarian Prime Minster Viktor Orban urged on Sunday the European Union not to impose a ban on Russian Energy due to the expected increase in energy prices after the US bombings of Iran. The European Commission proposed on Tuesday a legally-binding ban on EU imports from Russia of gas and liquefied gas by 2027. Legal measures were used to ensure that EU members Hungary, and Slovakia could not block the plan. The proposals outline how the EU plans to put into law its pledge to end decades-old relations with Europe's former number one gas supplier following Moscow's invasion of Ukraine in 2022.
Orban, Orban: EU's plan to ban Russian imports of energy must be stopped
Viktor Orban, the Hungarian prime minister, told state radio that the European Union's plan of banning Russian energy imports should be stopped "by any means". EU executive announced earlier this month that the European Commission would propose next month legal measures to phase-out the EU's imports for all Russian gas, including liquefied gas, by the end 2027. The proposed ban has been opposed by Slovakia and Hungary who rely on Russian gas and oil supplies. We must stop the Ukrainians from trying to ban Russian gas in Europe. We must stop it at all costs.
Hungary turns to Romania for help in diversifying its energy sources
Hungary wants to expand its gas sector cooperation with Romania to diversify energy sources. Their respective companies are already in negotiations for an agreement. Szijjarto stated that Hungary is keen to work with Romania in energy matters as Romania will soon become a net gas exporter as a result of a new offshore field starting production. In a few weeks, Romania could begin drilling at the Neptun Deep field, which is one of the most important gas deposits in the European Union. This will allow it to double its production and possibly become a net gas exporter.
EUROPE GAS - Prices at a new 15-month high due to cold weather and restocking fears
The Dutch and British wholesale prices of gas rose on Friday morning to a new 15-month high as the cold weather forecasts increased demand. There were also concerns about storage refilling due to tightness on the market. According to LSEG, the benchmark front-month contract for the Dutch TTF hub rose by 0.78 euros at 51.60 Euros per Megawatt Hour (MWh), which is $15.80/mmBtu at 0948 GMT. This was its highest level since October 20, 2023. The Dutch March contract increased by 0.50 euros to 52.22 Euro/MWh. The front-month contract in Britain rose by 2.25 cents to 132.00 pence per therm.
EU diplomats suggest that military aid to Ukraine be doubled this year
According to a document from the diplomatic service of the EU, seen on Friday, it is possible that this year's military aid for Ukraine could be doubled to 40 billion euro ($43 billion). In the paper, which is an updated version from an earlier proposal that outlined Ukraine's needs but did not specify a specific figure, it also states that each EU member country participating in this effort should contribute according to its economic weight. As the future of U.S. support for Ukraine is uncertain, EU…