Russia’s Transneft says Ukraine is blocking oil flows to Europe because of payment problems According to Reuters

© Reuters. FILE PHOTO: The receiver station of the Druzhba oil pipeline between Hungary and Russia is seen at the Hungarian MOL Group’s Danube Refinery in Szazhalombatta, Hungary, May 18, 2022. REUTERS/Bernadett Szabo/File Photo

MOSCOW (Reuters) – Ukraine has suspended Russian oil flows to Southern Europe since August 4 because Western sanctions mean it does not receive shipping fees from Moscow, the pipeline monopoly. of Russia’s Transneft said on Tuesday.

Transneft said it paid for August oil transportation to Ukraine’s Ukrtransnafta pipeline operator on July 22, but the payment was sent back on July 28 because the payment was not made. .

Gazprombank, which processed the payment, said the money was returned due to European Union restrictions, Transneft said in a statement.

Russia typically supplies about 250,000 barrels per day (bpd) through the southern section of the Druzhba pipeline to Hungary, Slovakia and the Czech Republic.

Hungary’s MOL and Unipetrol, controlled by PKN Orlen, are the main buyers of oil through this route, while Russia’s Lukoil, Rosneft and Tatneft are the main suppliers.

MOL, PKN Orlen amd Ukrtransnafta did not immediately respond to Reuters’ request for comment.

Russia has cut gas pipeline traffic to many EU members, citing problems with turbine maintenance on the Nord Stream 1 pipeline as well as sanctions on some of the customers Moscow describes. is “unfriendly”.

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