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MOL Accuses JANAF of Legal Violations Over Russian Oil Transit

Key highlights
  • MOL demands JANAF confirm by February 27, 2026, that it will allow Russian crude oil shipments by sea.
  • EU regulations permit seaborne Russian oil imports if pipeline deliveries are interrupted.
  • MOL's procurement complies with US sanctions, and contracted companies are not on restricted lists.
  • JANAF's refusal may lead to EU competition law violations and potential legal action by MOL.

Background

MOL Group has called on JANAF to allow the transit of unsanctioned Russian crude oil shipments arriving by sea. This request is based on EU and US sanctions regulations, which require the Croatian pipeline operator to comply.

Regulatory Context

According to EU regulations, if crude oil delivery from Russia to a landlocked member state via pipeline is interrupted for reasons beyond that member state's control, seaborne crude oil from Russia may be imported. This position is supported by the Hungarian government's sanctions authority.

Compliance with Sanctions

MOL's planned procurement of Russian crude oil transported by sea complies with US sanctions. The companies contracted by MOL are not listed on any U.S. restricted lists, including OFAC's.

Potential Legal Actions

MOL has warned that JANAF's refusal to provide the necessary transportation services could be seen as an abuse of dominant position under EU competition law. If JANAF continues to refuse, MOL may seek intervention from EU authorities, including the Directorate-General for Competition of the European Commission.

Financial Implications

MOL has indicated that JANAF will bear legal and financial responsibility for any damages resulting from delayed confirmation. MOL reserves the right to claim damages against JANAF if the situation is not resolved promptly.