Ukraine cuts off Russian oil from 3 countries

Ukrainian oil company UkrTransNafta has on Tuesday cut off Russian oil from Hungary, the Czech Republic and Slovakia.

The Russian side was unable to pay transit fees due to the European Union sanctions against Russia. Russia’s Transneft previously confirmed that UkrTransNafta on fourth of August stopped pumping Russian oil through the southern branch of the Druzhba pipeline system heading to Hungary, the Czech Republic and Slovakia.

“The transit of oil through Belarus towards Poland and Germany continues.” Transneft said.

The Ukrainian company explained that it provides oil transportation services only on a 100 percent prepaid basis. It stated that through payment for the transit of Russian oil into the territory of Ukraine, which was carried out through Gazprom Bank. The payment was reinstated due to the entry into force of the seventh package of European sanctions against Russia. The Ukrainian company therefore stopped providing oil transit services due to a lack of cash receipts for such services.

“We have informed the Russian Ministry of Energy of these resources in the direction of the three countries and UkrTransNafta, that the money does not arrive, and cannot be paid.” Transneft concluded.

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