Greece has restarted the Thessaloniki–Skopje oil pipeline after more than a decade of inactivity, strengthening its fuel export routes into the Western Balkans and reducing reliance on road transport, energy company HelleniQ Energy said.
The pipeline, also known as the Vardax pipeline, resumed operations on Dec. 31, reconnecting HelleniQ Energy’s refinery in Thessaloniki with facilities operated by OKTA in North Macedonia. The infrastructure had been dormant since 2013.
With an annual capacity of up to 2.5 million metric tons, the pipeline transports refined petroleum products including diesel, gasoline and kerosene. Diesel is expected to be the primary product, reflecting continued demand for conventional fuels across Balkan transport and industrial sectors.
HelleniQ Energy Chief Executive Andreas Shiamisis said the pipeline would serve as a key supply corridor for North Macedonia and neighboring markets, including Kosovo, southern Serbia and Bulgaria, enhancing Greece’s role as a regional energy hub.
The company said the first shipment has already been delivered, with further deliveries expected in the coming weeks.
The restart is expected to ease pressure on road infrastructure in northern Greece, particularly around Thessaloniki, where fuel exports in recent years relied largely on tanker trucks. Pipeline transport reduces congestion and lowers emissions compared with road freight, the company said.
The pipeline was built in 2002 following the acquisition of a majority stake in OKTA by a subsidiary of Hellenic Petroleum, now HelleniQ Energy. Operations were suspended in 2013 after refining activity at OKTA was halted due to unfavorable market conditions.
Efforts to revive the pipeline were delayed for years by legal and financial disputes between HelleniQ Energy and the government of North Macedonia, including disagreements over minimum oil purchase commitments. The dispute was settled through international arbitration in Paris, which ruled in favor of HelleniQ Energy and awarded the company $12.98 million in damages.
The resumption of operations marks a rare revival of cross-border fossil fuel infrastructure in Southeast Europe at a time when regional economies remain heavily dependent on diesel and other refined oil products.