BRATISLAVA, Slovakia (AP) — The flow of Russian oil to Slovakia through the Druzhba pipeline that crosses Ukraine has resumed, Slovak Economy Minister Denisa Saková said Thursday, a breakthrough in an issue that has caused a major diplomatic spat in Europe.

The development is expected to unblock a large financial assistance package for war-ravaged Ukraine.

Populist Slovak Prime Minister Robert Fico welcomed the development, calling it “good news.”

“Let’s hope a serious relation between Ukraine and the European Union has been established,” Fico said. He thanked all those involved in solving the issue, including the European Commission and Hungary.

Hungary and Slovakia were locked in a feud with Ukraine since Russian oil deliveries to Hungary and Slovakia through the pipeline were halted in January after the pipeline was damaged.

Ukrainian officials blamed the damage on Russian drone attacks.

Hungary’s nationalist Prime Minister Viktor Orbán, who was recently defeated in an election, accused Ukraine of deliberately delaying repairs — an allegation that Ukrainian President Volodymyr Zelenskyy denied.

Fico said Thursday he still didn’t believe the pipeline was damaged at all and alleged that the pipeline and oil “were used in the current geopolitical battle.”

Ukraine and most of its European backers oppose imports of Russian oil which have helped to fund Russian President Vladimir Putin’s war against Ukraine, now in its fifth year. But unlike the rest of the European Union, Hungary and Slovakia still depend on Russia for their energy needs.

For two months, the two countries have accused Ukraine of failing to repair the damaged pipeline. Citing the issue, Hungary blocked a massive EU loan to Ukraine while Slovakia refused to endorse new sanctions against Russia until the supplies resumed.

The flow resumed after three months at 2 a.m. Thursday, the Slovak economy ministry said, lifting a major obstacle to approving the EU funds for Ukraine later Thursday, just as EU leaders gather for a summit in Cyprus.

Ukraine desperately needs the 90 billion euro ($106 billion) loan package, originally agreed in December, to prop up its war-ravaged economy and help keep Russian forces at bay for the next two years.

Delayed deals

The 27-nation EU had originally intended to use frozen Russian assets as collateral for the loan. But that option was blocked by Belgium, where the bulk of the frozen assets are held.

In December, the Czech Republic, Hungary and Slovakia agreed not to stop their EU partners from borrowing the money on international markets as long as the three countries did not have to take part in the scheme.