PGNiG to supply Ukraine with LNG from US in March after regasification

The Polish Oil and Gas Company (PGNiG) has signed a contract with the American-Ukrainian company Energy Resources of Ukraine (ERU) for a one-time supply of liquefied natural gas received by Poland from the US after regasification in the republic, Report informs referring to the company’s website.

The ship with the American LNG will arrive at the President Lech Kaczynski LNG Terminal in Świnoujście at the end of February this year. After re-gasification, the fuel will be fed into the Polish transmission system. ERU Europe will be receiving the purchased fuel at the interconnection between Poland and Ukraine until the end of March 2022.

‘This is yet another delivery of American LNG to Ukraine made by PGNiG in cooperation with ERU, which is our strategic trading partner on the Ukrainian market. Good relations built over the years are particularly important now, at a time of great turbulence on the gas market in Europe,’ said Paweł Majewski, President of the Management Board of PGNiG SA. ‘Thanks to the investments in gas infrastructure carried out in Poland in recent years, we can strengthen the energy security of the region by ensuring our customers access to diversified sources of natural gas and the ability to choose the best offer on the market,’ added Pawel Majewski.

'It is an honor for ERU to have concluded a new transaction with its long-term partner PGNiG to import US LNG to Ukraine. For Ukraine, as for Europe, diversification of supply and especially LNG is a key element of energy independence. For me, especially now, this is not only a responsibility for the state but also a responsibility for private companies', said Dale Perry, ERU Managing Partner.

'Our supply of competitive natural gas from the US will support Ukrainian customers' resilience and safety of supply in the remaining months of this winter', added Yaroslav Mudriy, his fellow Managing Partner. ‘The new LNG deal adds to PGNiG and ERU's efforts in supporting the long-term energy independence of Ukraine, by developing new gas production through joint gas Exploration and Production’.

This is the second gas delivery to Ukraine made by PGNiG and ERU based on the purchase of American LNG. The first one took place over two years ago.