First LNG transport from Cheniere delivered to PGNiG company

Polish state-run gas firm PGNiG on Friday received the first liquefied natural gas (LNG) deliver from American energy company Cheniere, under a long-term contract signed in 2018. Polish authorities say that the LNG from the USA is a next stage in the process of building Polish energy independence.

LNG carrier Oak Spirit arrived today at the President Lech Kaczyński LNG Terminal in Świnoujście and provided about 165 thousand cubic meters of LNG. According to PGNiG, it took the vessel 14 days to travel from the Mexican Bay to Poland. Polish President Andrzej Duda underscored the importance of the PGNiG – Cheniere deal for Poland’s energy security and independence. He also thanked all people involved in reaching the agreement. PGNiG signed a long-term deal with U.S. energy firm Cheniere to secure liquefied natural gas (LNG) supplies from the United States on November 8, 2018, as Poland seeks to cut dependence on Russian fuel. Poland consumes around 17 billion cubic metres of gas annually, more than half of which comes from Russia’s Gazprom under a long-term deal that expires in 2022.

PGNiG has previously said it does not intend to extend the agreement, and has taken steps to secure supplies elsewhere after that date. Under the terms of the new deal PGNiG will receive a total of 0.52 million tonnes of LNG in the period 2019-2022 and 29 million tonnes in 2023-2042, to be delivered to an LNG terminal in the Baltic Sea, the company said. Poland also plans to build a gas pipeline to Norway via the Baltic Sea and Denmark to allow it to receive up to 10 bcm of gas annually from deposits under the North Sea. Polish officials have repeatedly said that Warsaw pays too much for Gazprom’s gas and have opposed a Russian plan to build a new gas pipeline across the Baltic Sea, saying it is aimed at strengthening its dominant market position in the region.

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.