Slovakia to ink 2029 oil deal with Russia

Slovakia is set to conclude a deal with Russia on oil deliveries through to 2029 later this month, amid tensions over a major cut in deliveries of Russian gas since September.
A member of NATO, the EU and the eurozone, with a population of 5.4 million and a thriving foreign auto manufacturing sector, Slovakia is entirely reliant on Russia for its oil supplies.
"We are drafting a new contract. We believe it could be presented to the government at the end of the month," Miriam Ziakova, a spokeswoman for the economy ministry told AFP, adding the deal was "viewed as a strategic priority".
Under the agreement, Slovakia plans to buy up to six million tonnes (43 million barrels) of Russian oil per year until the end of 2029.
The deal is also expected to include a similar volume of oil to transit through Slovakia to other EU customers.
A former communist state that was under the thumb of the Soviet Union until 1989, Slovakia is still entirely reliant on its former master for oil supplies, which are pumped in through the Druzba pipeline via Ukraine.
Analysts warn the details of the deal could pose risks.
"Just like in the past, the contract specifies the amount as being 'up to' six million tonnes of oil. The phrase 'up to' is very important because it could also be zero; no minimum quantity of oil is specified," the Bratislava-based analyst Karel Hirman told AFP.
Slovakia has seen deliveries of Russian gas plummet by half of contracted volumes in recent weeks. Russian state-owned supplier Gazprom has denied any reductions.
The dip in supplies came after Slovakia started pumping natural gas to Ukraine at the European Union's behest.
Russia cut off supplies to Ukraine over what it claimed were unpaid fuel bills.