Hungary Criticizes US Sanctions on Gazprombank

Hungary has condemned U.S. sanctions against Gazprombank, asserting that they threaten the energy security of Central European nations reliant on Russian gas, with Foreign Minister Peter Szijjarto labeling it an 'attack on our sovereignty'. Hungary, alongside Slovakia and Austria, continues to depend on Russian gas, receiving approximately 4.5 billion cubic meters annually under a long-term contract. The U.S. Treasury has imposed sanctions on Gazprombank as part of a broader effort to restrict Russia's financial capabilities amidst its ongoing war against Ukraine. Despite these sanctions, Japanese company Osaka Gas confirmed that its LNG procurement from Russia's Sakhalin-2 project will remain unaffected, as it does not utilize Gazprombank for payment. The sanctions could potentially elevate gas prices in Europe, which is already facing challenges due to dwindling storage and supply uncertainties as winter begins. This situation underscores the ongoing complexities of energy dependence in Europe amid geopolitical tensions.