Slovak PM Fico warns of gasoline disaster with out Ukraine transit route

(Reuters) – Slovakia’s Prime Minister Robert Fico warned of a gasoline disaster on Friday as Ukraine continued to reject extending the transit of pure gasoline by means of its territory after a contract expires on the finish of the yr.

Ukraine has repeatedly stated it might not proceed a gasoline transit take care of Russia as the 2 nations are at warfare.

Slovakia, which has a long-term contract with Russian oil big Gazprom (MCX:GAZP), has been attempting to maintain receiving gasoline by means of Ukraine, saying shopping for elsewhere would price it 220 million euros ($228.73 million) extra in transit bills.

Fico pushed the topic on Thursday at a European Union summit in Brussels, which was additionally attended by Ukrainian President Volodymyr Zelenskiy who reiterated that his nation wouldn’t proceed the transit of Russian gasoline.

“We’re demonstrably dealing with a gasoline disaster because of President Zelenskiy,” Fico stated firstly of a information convention in Bratislava on Friday, with out elaborating.

Fico had spoken earlier than the EU summit of different setups by which the gasoline Ukraine is transiting wouldn’t be Russian however owned by somebody totally different.

However immediately after the summit, Fico stated late on Thursday that Zelenskiy had dominated out any gasoline transit. Fico additionally rejected Zelenskiy’s suggestion that Kyiv may think about continued transit of Russian gasoline on the situation that Moscow doesn’t obtain cash for the gas till after the warfare.

The European Fee has stated it has little interest in persevering with Russian gasoline flows through Ukraine.

Fico stated he couldn’t rule out that Slovakia may need to “take into consideration reciprocal measures” with out the gasoline transit.

Slovakia has supplied power to Ukraine lately, equivalent to electrical energy and diesel provides, and supplies humanitarian support for its neighbour.

However Fico has stopped state navy support to Kyiv, has stated the warfare with Russia doesn’t have a navy answer and has criticised sanctions in opposition to Moscow.

Slovakia says stopping gasoline flows firstly of 2025 wouldn’t threaten its provides resulting from adequate storage, however it might hit transit operations and has warned it might influence market costs.

($1 = 0.9618 euros)