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Hungarian Companies Purchase Shares in Azerbaijani Oil and Gas Fields

MTI-Hungary Today 2025.05.21.
L-R: Azerbaijani President Ilham Aliyev and Hungarian Prime Minister Viktor Orbán

Without the Turkic countries, Hungary’s energy supply would not be secure, Prime Minister Viktor Orbán said after receiving Ilham Aliyev, President of Azerbaijan, at the Carmelite Monastery on Tuesday as part of a working visit.

At a joint press conference, the Hungarian Prime Minister said that without the Turkic countries, families would be paying two to three times more for energy than they do now. “Without our Turkic friends, it would not be possible to reduce utility prices in Hungary,” he said, adding that the first shipment of natural gas from Azerbaijan arrived last year and that the president had promised that this would also be the case this year.

Viktor Orbán emphasized that

whatever difficulties Hungary has faced in recent decades, whether in foreign policy, finance, or energy, Azerbaijan has always been there for us.

The Prime Minister also pointed out that we live in a dangerous age, with global security being tested by challenges. At times like these, it is important for friendly countries to meet and review bilateral relations and the international situation, he added, noting that the international political situation values reliable partners.

He recalled that Hungary has been living in the shadow of war for three years and that the Hungarian economy has already suffered losses of more than EUR 20 billion as a result of the war and sanctions. Mr. Orbán said that the European Union had chosen to isolate the war rather than expand it, siding with war instead of peace, and that this had caused serious damage. “The European economy is also in a difficult situation because the war and sanctions have destroyed the strategic foundations of what had been successful economic growth,” he continued. He stated that the European economy is currently “navigating without a compass,” and as a result, we are living in a constant energy crisis. “We pay three to four times as much for gas and electricity in Europe as in America, and this makes it impossible to build a competitive economy,” he underlined.

Orbán also mentioned that Hungary had fought hard to maintain its energy relations with Russia, but in response, the Ukrainians had closed the Ukrainian pipeline. “We then agreed with our Turk friends that we would supply Hungary from the south,” he recalled.

The Prime Minister said

that they greatly appreciate Azerbaijan’s decision to allow Hungarian energy companies MVM and MOL to purchase shares in Azerbaijani oil and natural gas fields and transport pipelines.

This gives us hundreds of millions of cubic meters of natural gas and hundreds of thousands of barrels of oil on the international energy market every year, explained the Prime Minister. He added that joining the Azerbaijani oil and gas fields is “extremely important from both an economic and mental point of view.” He announced that an agreement had been reached to extend cooperation between the two countries to a new area, namely renewable energy.

The politicians also touched on peace talks. Orbán congratulated Ilham Aliyev on finalizing the text of the Azerbaijani-Armenian peace agreement. He said that the agreement is a good example of how a war can be ended through diplomacy.

L-R: Ilham Aliyev and Viktor Orbán. Photo: MTI/Miniszterelnöki Kommunikációs Fõosztály/Benko Vivien Cher

Hungarian-Azerbaijani relations are developing successfully, and it can be said that Hungary and Azerbaijan are friendly countries, said the Azerbaijani President. Ilham Aliyev recalled that Hungary’s role as an observer in the Organization of Turkic States proves that Hungary is closely connected to its historical roots.

The Azerbaijani President congratulated Hungary on its achievements, explaining that Hungary is one of the few countries that pursues an independent foreign policy.

He added that Orbán has always upheld his country’s national interests, “which we greatly appreciate and even salute.” He noted that Hungary has defended its own national interests and joined initiatives that have benefited the country and avoided anything that would have harmed Hungary. Pursuing such a policy within the European Union is “truly heroic,” requiring political will and determination, Mr. Aliyev emphasized, adding that this can only be achieved through well-calculated political measures.

The President spoke about how his country and Hungary share many of the same views “in this changing world.” He said that, like Hungary, Azerbaijan is also a country with a war in its neighborhood. “This similarity provides a basis for mutual understanding, because we face the same challenges,” he underlined. Aliyev pointed out that over the past four years, his country has also been forced to wage war on its own territory to end 30 years of Armenian occupation.

Mr. Aliyev said that the successful cooperation in the field of energy was discussed during the talks; Hungarian companies have acquired ownership rights in two large Azerbaijani oil and gas fields, and new contracts will be signed in the coming years.

The President noted that Azerbaijan has been exporting natural gas to Hungary since last year and is ready to supply the quantities required by Hungary. He pointed out that

they supply natural gas to 12 countries, ten of which are European countries and eight are members of the European Union.

Regarding renewable energy, the President highlighted that Azerbaijan aims to produce 6,000 megawatts of energy from renewable sources over the next five years. These projects would enable savings of three to four billion cubic meters of gas, with Türkiye and European countries as the target countries.

Fact

The Informal Summit of the Turkic States will be held in Budapest on May 20-21. At the invitation of Prime Minister Viktor Orbán, the summit will be attended by Recep Tayyip Erdogan, President of the Republic of Turkey; Ilham Aliyev, President of Azerbaijan; Shavkat Mirziyoyev, President of Uzbekistan; Kassym-Jomart Tokayev, President of Kazakhstan; Sadyr Zhaparov, President of Kyrgyzstan; and Kubanychbek Omuraliev, Secretary-General of the Organization of Turkic States.

MOL Concludes Agreements on Natural Gas Extraction in Azerbaijan
MOL Concludes Agreements on Natural Gas Extraction in Azerbaijan

Drilling of the first extraction well has already started, with gas production expected to start by 2025.Continue reading

“Major Hungarian energy companies have acquired stakes in Azerbaijani oil and natural gas fields, enabling them to supply millions of cubic meters of natural gas and hundreds of thousands of barrels of crude oil to international energy markets every year, which represents a whole new dimension,” emphasized Hungarian Foreign Minister Péter Szijjártó.

Drilling has been successful at MOL’s oil and gas field in Kazakhstan, and production has begun. Uzbekistan and Kyrgyzstan are launching nuclear energy programs in which they intend to use Hungarian technological solutions,”

he added.

Mr. Szijjártó emphasized that as a result of all this, Hungarian-Turkic cooperation represents extremely significant added value for Hungary’s secure energy supply. The Minister recalled that eleven or twelve years ago, the Hungarian government was ridiculed in Europe for establishing relations with the Turkic countries, but now European leaders are lining up for a meeting with leaders in the region.

Via MTI, Featured photo via MTI/Miniszterelnöki Kommunikációs Fõosztály/Benko Vivien Cher


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