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Hungary buys Russian gas five times cheaper than market price in Europe — Putin

Long-term contract was signed last year

MOSCOW, February 1. /TASS/. Long-term contracts now allow Budapest to buy Russian gas five times cheaper than market price in Europe, Russian President Vladimir Putin said on Tuesday at a meeting with Hungarian Prime Minister Viktor Orban in the Kremlin.

"We can say that these agreements until 2036, signed last year, are the result of your work first of all," Putin said.

He noted that these agreements not only enable stable supplies until 2036. "It is also important that today Hungary buys Russian gas five times cheaper than the market price in Europe," Putin said.

At the same time, Budapest intends to come to terms with Moscow on the increase of Russian gas supplies, Orban said. "Considering that entire Europe is currently experiencing the energy, to be more specific, the gas crisis, the conclusion of long-term contracts was very important. We appreciate their signing by us. I would like to reach the goal of increasing the volume of suppliers in the course of our meeting today," he said.

Putin assured Orban of stable Russian gas supplies to the country. "Last year, Gazprom signed two long-term contracts for the supply of natural gas from Russia to Hungary until 2036, so the stability of supplies has been ensured," Putin said.

On October 1, 2021, Gazprom began supplying gas to Hungary under a long-term contract, signed on September 27, through the Balkan Stream gas pipeline (an extension of the Turkish Stream) and pipelines in South-Eastern Europe.

He added that, despite all the restrictions, over the 11 months of last year, bilateral trade increased by 30%. "Energy generally occupies a large place in our cooperation," Putin added.

Putin also mentioned the cooperation of Russia and Hungary in the field of mechanical engineering and, in particular, a joint contract for the supply of railcars to Egypt.