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EU loan for Ukraine unblocked as oil flows resume
Ukraine has restarted Russian oil deliveries through the Druzhba pipeline to Hungary and Slovakia, removing a key obstacle to a €90 billion EU financial package for Kyiv. EU ambassadors granted preliminary approval to the loan and a new sanctions package against Russia shortly after the announcement.
Pipeline repairs complete after Russian attack
Ukrainian officials confirmed on Tuesday that repairs to the pipeline, damaged in a late-January Russian strike, had been finalized. The attack had halted oil transit, prompting Hungarian Prime Minister Viktor Orbán to block the EU loan in February. Orbán, who lost Hungary's recent election, had demanded the pipeline's restoration as a condition for lifting his veto.
Slovak Economy Minister Denisa Saková reported that pressurization of the pipeline began Wednesday morning, with crude oil expected to reach Slovakia by Thursday-marking the first delivery since January 27. A Ukrainian government source said transit resumed at 12:35 local time (09:35 GMT). Hungarian energy firm MOL anticipates receiving supplies by Thursday at the latest.
Orbán's exit paves way for EU deal
Orbán, now serving as caretaker leader until early May, signaled over the weekend that Hungary would no longer oppose the loan once oil deliveries resumed. His election defeat to Péter Magyar, who has vowed to reset Budapest's strained relations with Brussels, further eased tensions.
During his campaign, Orbán accused Ukraine of imposing an "oil blockade" on Hungary and Slovakia, claiming the EU colluded with Kyiv against him. Satellite imagery from January showed damage to a major oil tank in western Ukraine's Brody, with Kyiv citing Russian attacks on repair crews as delaying restoration.
Loan critical for Ukraine's defense and economy
EU foreign policy chief Kaja Kallas emphasized the loan's urgency, stating, "Ukraine really needs this loan, and it's a sign that Russia cannot outlast Ukraine." Ukrainian Deputy Prime Minister Taras Kachka described the funding as "a matter of life and death," with two-thirds earmarked for defense and the remainder for broader financial support.
Ukrainian President Volodymyr Zelensky discussed the loan's unblocking with European Commission President Ursula von der Leyen and European Council head António Costa on Tuesday. Zelensky stressed that Ukraine had met the EU's demand to repair the pipeline, adding, "There can be no grounds for blocking it any more."
Despite the approval, Ukrainian media report that the funds may take weeks to reach Kyiv.
Broader tensions persist
While the pipeline dispute is resolved, Ukraine has also targeted Russian oil infrastructure, including a pumping station in Samara linked to the Druzhba pipeline this week. Orbán's opposition to the loan had frustrated EU leaders, who had already granted Hungary, Slovakia, and the Czech Republic opt-outs from the scheme.
Orbán, long seen as Moscow's closest ally in the EU, centered his failed re-election campaign on hostility toward Zelensky and Brussels. Campaign posters depicted Zelensky alongside Magyar with the slogan, "They are dangerous!"
