On October 11, 2024, MOL Group announced its intention to enhance its refining capabilities for non-Russian crude oil, aiming to reach up to 100% capacity by the end of 2026. Currently, the company can refine 30%-40% of non-Russian oil at its refineries in Slovakia and Hungary. This shift comes in response to Western sanctions that have restricted Russian oil supplies to the European Union.
According to MOL's spokesperson, the company is investing $500 million to address unforeseen difficulties in upgrading 24 planned refinery projects. These upgrades are expected to be completed within two years. Additionally, MOL is negotiating a long-term contract with Croatia's oil pipeline operator, Janaf, to facilitate oil transport through the Adriatic pipeline.
The Druzhba oil pipeline, which has historically transported Russian oil to various European countries, has seen significant disruptions due to sanctions. While some countries continue to receive oil via the southern branch of the pipeline, supplies to Poland and Germany have been halted since early 2023.
This development underscores the ongoing efforts of European nations to reduce reliance on Russian energy sources and adapt to the changing geopolitical landscape.