Hungary's MOL says Danube refinery restarted production at reduced capacity
- Refinery processes 165,000 barrels daily, mainly Russian crude
- Orban to discuss U.S. sanctions on Russian oil in Washington
Hungarian oil and gas company MOL MOL said on Tuesday that production has restarted at its main Danube refinery after a fire earlier this month at a key distillation unit that processes over 40% of the refinery's crude intake.
MOL and Hungary's energy supply came under pressure on two fronts last week due to the fire and to U.S. sanctions on Russian oil companies, Lukoil and Rosneft.
The refinery, which has a capacity of 165,000 barrels of crude oil daily according to MOL's website, largely processes Russian crude delivered via the Druzhba pipeline. It effectively covers Hungary's domestic demand for oil products, International Energy Agency's data shows.
The AV3 unit at which the fire broke out processes over 40% of the refinery's crude intake, according to LSEG data.
"The restart of units not affected by the fire has been going according to schedule so the Danube refinery has started fuel production at a reduced capacity," MOL said on Tuesday, adding that Hungary's fuel supply was secure.
Hungary's Prime Minister Viktor Orban will meet U.S. President Donald Trump in Washington next week and will discuss U.S. sanctions on Russian oil companies among other issues.