MOL to Test Adria Pipeline Capacity as Europe Seeks Russian Oil Alternatives
Hungary’s MOL will begin a 10-month capacity test of the Adria oil pipeline as Europe searches for alternative crude supply routes amid the expected end of Russian oil imports.
(Reuters) — Hungary's oil and gas company MOL said on March 6 that capacity tests on the Adria oil pipeline from Croatia will start on March 11 and last 10 months, as it seeks alternative routes with Russian crude supplies set to stop at the end of 2027.
MOL, which operates refineries in Hungary and Slovakia, has questioned whether the Adria pipeline can meet its needs, concerns dismissed by Croatian operator JANAF.
Hungary and Slovakia are keen to keep supplies coming from Russia and have exemptions from current European Union sanctions. Adria would be a key alternative as the EU seeks to adopt a full ban on Russian oil imports next year over Moscow's invasion of Ukraine.
"It is in everyone's interest that, after contradictory tests and wide-ranging public statements, the facts finally speak for themselves," MOL said on March 6 of the Adria tests.
It said that while Croatia has put annual capacity at between 11 and 15 million metric tons, no more than 2.2 million tons of crude oil have ever been transported through the relevant pipeline section.
The series of tests will be carried out with an international and independent monitoring team in different weather conditions and using different crude types.
"We will see what is needed for the Adria pipeline to finally become a full-fledged route," MOL said.
Druzhba Outage Raises Reliance on Adria
MOL has already had to rely more on Adria with the Druzhba pipeline - which carries Russian crude and runs through Ukraine - out of operation since the end of January after what Ukraine said was a Russian attack.
The Hungarian and Slovak governments have accused Kyiv of delaying the restoration of flows for political reasons. Ukraine has said repairs will take time.
During the outage, MOL has pressed JANAF to deliver Russian seaborne crude via the Adria route, but Croatia is assessing whether it can do so legally due to sanctions.
MOL says that under EU sanctions exemptions, Hungary and Slovakia can source Russian crude via maritime routes if the Druzhba pipeline is inoperable.