Tuesday, 02 January 2024 12:17 GMT

Poland to Demand Compensation from Russia over Halt in Crude Supplies to Refineries


(MENAFN) The CEO of Poland's leading oil refiner and retailer, Orlen, Daniel Obajtek, announced on Monday that the country would be demanding compensation from Russia due to the ongoing halt in crude supplies to its refineries. The state-owned pipeline operator, Transneft, explained that Moscow suspended crude supplies after Poland stopped paying for deliveries. According to a company spokesperson, confirmed resource and transit payments were not processed, and operational changes were made to the schedule, excluding supplies for Polish consumers.

Obajtek told radio Zet that "the Russians stopped pumping oil to Poland," and that Orlen is going to take legal action and demand claims. However, he did not provide further details or discuss potential compensation figures, citing confidentiality agreements.

While the European Union banned seaborne oil imports from Russia last December, pipeline deliveries were exempted from the sanctions package. Poland had pledged to stop importing Russian oil by the end of 2022 but continued to receive crude via the Druzhba system. The halt in crude supplies has led to uncertainty and a growing concern over the impact on Poland's energy security. It remains to be seen how the situation will develop and whether any compensation claims are going to be successful.

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