Budapest will continue to block the disbursement of 6.5 billion euros ($7 billion) from the European Peace Facility (EPF) in military aid to Ukraine until Kiev allows the transit of Russian Lukoil oil, Hungarian Foreign Minister Peter Szijjarto said on July 23.

Both Hungary and Slovakia said the Ukrainian sanctions effectively stopped oil shipments from Russian company Lukoil to the two countries.

Slovak leaders also threatened unspecified repercussions against Ukraine, pointing to Slovakia’s important role as an electricity supplier as Ukraine struggles with energy shortages due to Russian attacks.

Oleksiy Chernyshov, head of Ukraine’s state energy company Naftogaz, said earlier this week that while transit of Lukoil product through Ukraine has stopped, overall transit volumes have remained stable. He called the complaints from Bratislava and Budapest a “political issue.”

“I also made it clear that as long as Ukraine does not solve the problem, everyone can forget about the 6.5 billion euros in compensation for arms deliveries under the European Peace Facility,” Szijjarto said in an interview with the ATV news channel.

Hungary, widely seen as the EU member closest to the Kremlin, has repeatedly blocked aid to Ukraine, saying it “prolongs” and “escalates” the ongoing war. Such views have been frequently echoed in Slovakia since Ukraine-skeptical Prime Minister Robert Fico took office last fall.

The blocking of funds under the EPF predates the dispute over Lukoil deliveries. Hungary has been holding up tranches under the program, which is intended to help members that have provided aid to Ukraine, for more than a year.

According to Szijjarto, Hungary is working on legal and technical solutions to secure its oil supply in the long term if Ukraine does not lift the restrictions.

“I think the situation here is crystal clear and the European Commission should really put pressure on Ukraine to allow oil supplies from Lukoil again,” Szijjarto said after he and the Slovak government turned to the EU to mediate the dispute.

According to the foreign minister, Lukoil’s deliveries represent 33% of Hungary’s crude oil imports, and 40-45% of Slovakia’s imports. The two countries were among the few EU member states granted exemptions from the ban on Russian pipeline oil imports.

Ukrainian sanctions against Russia’s Lukoil could lead to fuel crisis in Hungary

According to Politico, the restrictions have led to an oil shortage in Budapest. Budapest relies on Russia for 70% of its oil supply, while Lukoil supplies half of that volume.