Ukrainian President Volodymyr Zelenskyy suggested that the future of the Druzhba (“friendship”) oil pipeline, a key conduit for Russian crude to Hungary and Slovakia, now depends on Budapest’s stance toward Kyiv. Asked whether recent strikes on the pipeline might persuade Prime Minister Viktor Orbán’s government to drop its veto of Ukraine’s bid to join the European Union, Zelenskyy replied that “friendship between Ukraine and Hungary” would hinge on Hungary’s position. Hungarian Foreign Minister Péter Szijjártó dismissed the remark as “intimidation” and called on Kyiv to “stop attacking our energy security,” adding that the war was “not our war.” Budapest has long relied on the southern branch of the Soviet-era Druzhba line for almost all of its crude imports and has resisted EU measures that could endanger those flows. Hungary said it was formally notified on 22 August that the section of the pipeline on the Russia-Belarus border had come under attack for the third time in recent weeks. Kyiv has not publicly claimed responsibility for the incidents, which follow an expanding Ukrainian campaign of drone strikes against Russian energy infrastructure. The prospect of further disruption to Russian supply, including the Druzhba network and facilities inside Russia, contributed to a modest rise in crude futures on 25 August. Brent edged up 0.09 percent to $67.79 a barrel, while West Texas Intermediate added 0.14 percent to $63.75, extending gains from the previous week.
"Clash between Ukraine and Hungary highlights underlying friction over pipeline incident."
"Ukraine attacks on Russian energy infrastructure push oil prices higher."
"Given the success that Ukraine is having with its targeting of Russian oil infrastructure ... the risks for crude oil are shifting to the topside," IG market analyst Tony Sycamore said. https://t.co/AJHFtcJC5E #energy #OOTT #oilandgas #WTI #CrudeOil #fintwit #OPEC #Commodities