NATO seals €27B overhaul of Cold War-era fuel network

By Victor Jack | 07/23/2026 06:08 AM EDT

The alliance’s 32 members agreed on the multidecade deal Wednesday after Turkey dropped its last-minute opposition.

BRUSSELS — NATO countries finalized a €27 billion deal to overhaul the alliance’s military fuel transport system, the organization announced Wednesday.

“The 27-billion-euro investment will modernise NATO’s existing fuel storage and distribution infrastructure,” the alliance said in a statement. “It will support new facilities, including pipelines, in the eastern and south-eastern part of the Alliance and ensure NATO forces have the energy supplies they need for warfighting readiness.”

NATO’s 32 ambassadors signed off on the deal, part of its effort to prepare for a potential war with Russia, during their last regular meeting ahead of the summer break, two NATO diplomats said, after Turkey dropped its last-minute bid to hold up the compromise. Both diplomats were granted anonymity to speak freely about the classified talks.

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The military alliance also agreed to raise its common funding budget to “up to EUR 6.5 billion” for next year, and signed off on its investment priorities for the next five years. For 2026, allies had agreed on a budget of €5.3 billion.

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