Thursday

24-04-2025 Vol 19

Czech Republic set to cease Russian crude imports with completion of TAL pipeline enhancement

The Czech Republic is poised to end its longstanding reliance on Russian crude oil following the inauguration of the upgraded Trans-Alpine pipeline. Prime Minister Petr Fiala made this announcement at a press conference held at the Nelahozeves central oil storage facility. He confirmed that the first shipment of crude oil to run through the enhanced pipeline arrived on April 16. This initial cargo, which consists of North Sea oil, was transported to the Italian port of Trieste in March before making its way to the Litvinov refinery, operated by Czech refiner Orlen Unipetrol.

According to S&P Global Commodities data, approximately 750,000 barrels of Norway’s Johan Sverdrup crude reached Trieste on March 29, marking its entry into the expanded TAL pipeline en route to Germany. The TAL pipeline ultimately connects to the larger IKL pipeline, supplying both of the Czech Republic’s refineries. The expansion of the TAL-Plus pipeline has been critical for the Czech government to phase out Russian oil imports, which continued via the Druzhba pipeline even as other European nations restricted such supplies. While EU sanctions imposed in 2022 did allow for some pipeline deliveries, increasing pressure has compelled the Czech Republic to enhance its energy independence.

The expanded pipeline’s capacity is set to double, enabling the country to secure approximately 8 million metric tons of oil annually, thereby fulfilling its refining needs. Following the successful delivery, Orlen Unipetrol’s CEO, Mariusz Wnuk, announced the company’s plan to process the Norwegian crude starting the following week. Additionally, the company has arranged for more shipments from overseas to support the Litvinov refinery. Earlier disruptions in Russian oil deliveries prompted a swift upgrade to the pipeline, which had initially been scheduled for a July launch.

Despite these advancements, the Czech Republic remains partially dependent on fuel imports, with its domestic refinery capacity covering only about two-thirds of motor fuel demand. The country has relied on imports from Slovakia, which continues to source oil from Russian crude—a complicated issue, given Czechia’s aim to sever ties with Russian supplies altogether. Although a six-month waiver was granted for continued imports from Slovakia’s Bratislava refinery, Czech officials have expressed no intention to extend this waiver further.

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