Hungary has concluded a landmark long-term natural gas agreement with Shell, marking the largest deal ever reached between the country and a Western energy supplier. The announcement was made by Minister of Foreign Affairs and Trade Peter Szijjarto during the Gastech conference in Milan, where he underlined that Hungary’s diversification strategy aims to keep existing supply sources while adding new ones to enhance security.
Szijjarto noted that Hungary’s landlocked position and limited pipeline capacity from alternative routes make it impossible to completely replace Russian imports. For this reason, developing new infrastructure and securing additional agreements are essential to maintaining stable energy supplies.
Hungary’s cooperation with Shell began in 2020, when the two sides signed a six-year contract for the delivery of 250 million cubic meters of LNG annually through Croatia’s Krk terminal — the country’s first long-term LNG deal with a Western company. Building on that foundation, the new contract will see Shell Energy Europe Limited supply Hungary with around 200 million cubic meters of natural gas per year from January 2026 for a period of ten years. In total, the deal covers two billion cubic meters of gas, delivered via diversified routes to improve supply security.
The agreement was signed with Hungary’s state-owned gas trader MVM CEEnergy. For Shell, it represents a strategic step in expanding its footprint in Central and Eastern Europe, while for MVM CEEnergy, it ensures reliable long-term supply and greater flexibility in procurement.
Company executives emphasized the strategic value of the partnership. Shell reaffirmed its commitment to strengthening regional energy security, while MVM CEEnergy highlighted the deal as a key component of its diversification efforts and a boost to stability in Central Europe’s energy market.
With this agreement, Hungary secures another stable supply channel to complement existing contracts, reinforcing its energy resilience at a time when regional diversification remains a top priority.
