Hungary takes steps to ensure fuel supply ahead of tighter US sanctions on Russian oil

BUDAPEST, Oct 30 (Reuters) - Hungary's government has drafted legislation to amend a law on the stockpiling of imported crude and crude products to enable it to designate so-called standby filling stations to provide fuel to critical users in a supply emergency.

The amendment comes after a recent fire at the main Danube refinery of Hungarian oil group MOL MOLB.BU that forced it to operate at reduced capacity, and before U.S. sanctions on Russian oil majors Lukoil and Rosneft take effect next month.

The sanctions pose a risk to Hungary's reliance on crude imports from Russia.

According to the text of the draft bill published by the energy ministry on the government's website on Thursday, in an emergency situation "the Government can by decree order the use of standby filling stations, setting out the order of priority in provision of fuel".

The legislation would take effect on January 1, 2026.

The government spokesperson was not immediately available for further comment on the bill.

"In a possible supply crisis, users ensuring the operation of the country can obtain fuel from a network of standby filling stations," the text says. "The amendment...- which also serves to reduce the administrative burden - is intended to create the legal basis and financing conditions for this."

The amendment did not affect retail buyers, it added.

Prime Minister Viktor Orban has said Hungary was working on finding a way to circumvent U.S. sanctions on Russian oil companies.

He will meet U.S. President Donald Trump on November 7 in Washington, where he aims to discuss a path to a U.S.-Russia meeting and seek exemption from the energy sanctions, Orban's chief of staff said earlier on Thursday.

The Danube 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 data showed.