March 12, 2025
Ukraine bets on American LNG as gas import needs grow - media thumbnail
Economy

Ukraine bets on American LNG as gas import needs grow – media

Ukraine bets on American LNG as gas import needs grow – mediaUkraine can import up to 4 billion cubic meters of gas from the United States through terminals in Germany, Greece, Lithuania and
Poland. This will strengthen the partnership with Washington and deter Russian attacks.
”, — write: unn.ua

Ukraine may import large volumes of American gas this year through terminals in Germany, Greece, Lithuania and Poland. This was stated by GTS Operator of Ukraine, as Kyiv struggles with the consequences of Russian attacks on its infrastructure, reports UNN.

Details

The publication notes that gas imports from the United States to Ukraine have the potential to strengthen economic partnership with Washington, and the presence of American gas in Ukrainian storage facilities may deter Russian attacks.

Dmytro Lippa, head of Ukraine’s gas operator, told Reuters in an interview that Ukraine could import at least 4 billion cubic meters of gas between April and October.

Reuters calculations, based on average gas prices, show that total imports will amount to at least $1 billion.

Of the total imports through Europe, up to half will be LNG supplied to European terminals, rather than pipeline gas, and of this, Lippa said, as much as possible could be from the United States.

“If we take the political aspect, it is better for us to bring as much (American LNG) as possible to Poland and gradually supply it to us,” Lippa said in an interview approved for publication on Wednesday.

The geopolitical situation meant that American LNG might be preferable to, for example, competing Qatari LNG, Lippa said, provided the price difference was not significant.

Add

Ukraine was the main pipeline transit route for Russian gas until the beginning of this year, when the transit agreement between the two countries expired, depriving Russia of transit fee revenues.

Ukraine also has large underground gas storage facilities, and Ukrainian President Volodymyr Zelenskyy said that Kyiv and the White House had discussed using these sites to store American LNG, which could replace some of the Western European gas that Ukraine relies on.

In recent weeks, Russian forces have stepped up attacks on Ukrainian gas infrastructure — production and underground storage facilities — which has reduced gas production in Ukraine and limited its ability to extract fuel from storage facilities.

Prior to the latest attacks, Ukraine produced 52-53 million cubic meters of gas per day, but a senior industry source said the attacks had reduced production by 40%, forcing Kyiv to increase imports. Some production has been restored, but officials declined to provide updated data.

In preparation for the 2025-2026 winter heating season, Ukraine typically begins pumping gas into storage facilities when the current peak demand season ends, around April, as temperatures rise and consumption begins to decline.

Energy officials estimate that Ukraine needs to have at least 13 billion cubic meters of gas in reserve by mid-October to get through the winter season without interruption.

Lippa said LNG could be supplied to Ukraine from terminals in Germany, Greece, Lithuania and Poland. The Polish and Lithuanian routes were the cheapest, but Lippa said Ukraine would also have to use other pipelines, as the Polish connector pipeline only allows imports of up to 7 million cubic meters per day compared to demand of 20-25 million.

Let us remind

The White House led negotiations to end the more than three-year war that followed Russia’s invasion of Ukraine. Kyiv said it was ready to accept a ceasefire proposal on Tuesday, but Moscow has yet to agree to a deal.

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