“Slovakia’s main gas buyer, SPP, has signed a short-term pilot contract to buy natural gas from Azerbaijan and is considering a long-term deal in preparation for a potential shutdown of Russian supplies through Ukraine.”, — write: www.epravda.com.ua
Slovakia’s main gas buyer, SPP, has signed a short-term pilot contract to buy natural gas from Azerbaijan and is considering a long-term deal in preparation for a potential shutdown of Russian supplies through Ukraine.
This is reported by the Reuters agency.
An agreement between Moscow and Kyiv to export Russian gas through Ukraine to Europe expires at the end of the year, forcing SPP and other buyers in the European Union to look for alternative sources, particularly in Azerbaijan.
Russia has said it is ready to continue supplying gas through Ukraine despite the war, but Kyiv has refused to negotiate with Moscow over gas.
SPP said it has diversified its gas purchase contracts with companies such as BP, Exxon Mobil, Shell, Eni and RWE, with access to volume covering up to 150% of its customers’ needs, with the possibility of further increases in reserves.
“Due to the high risk of a stoppage of gas supply through the eastern pipeline, we are taking measures to guarantee a safe supply of gas to our customers – from large industrial consumers to households under all conditions,” said SPP CEO Wojtech Ferenc.
SPP also noted that in the event of a stoppage of supplies through Ukraine, it has alternative routes for transit, including a gas pipeline from Germany through the Czech Republic.
Also important will be the southern route through the Turkish Stream gas pipeline through the Black Sea, which can supply a part of Russian or Azerbaijani gas.
The company added that if the transit through Ukraine stops, it will have to take additional measures to ensure the security of supplies, but this will lead to an increase in costs.
“If the company loses Russian supplies and is forced to purchase all the necessary volume from another source and physically transport it to Slovakia, it will cost at least 140 million euros more,” SPP said.
Read also: Ukraine still pumps Russian gas and finances the war against itself. Will this continue in 2025?
We will remind:
The termination of the transit agreement between Russia and Ukraine on December 31 will have little effect on the strengthened European gas market
The Government of Ukraine is not conducting official negotiations regarding the continuation of the transit of Russian gas after the termination of the current agreement.
The President of Azerbaijan, Ilham Aliyev, expressed confidence in the outcome of the negotiations between Russia and Ukraine to ensure the continued supply of Russian gas through Ukraine to several European countries.
Ukraine does not intend to extend the gas transit agreement with Russia, which expires at the end of 2024, and is ready to discuss gas transit from other suppliers through its GTS if requested by Europe.