Orlen to supply another US LNG cargo to Ukraine’s Naftogaz

Naftogaz said in a statement on Thursday that it had signed a deal with Orlen to buy an additional 100 million cubic meters of LNG.

This marks the third contract under the companies’ long-term cooperation framework signed in March, bringing the total contracted volume to 300 mcm.

Orlen will deliver the LNG cargo from the US, regasify it at the Swinoujście terminal in Poland, and transport the gas supplies through the Polish transmission system to the Ukrainian border.

The Polish firm will also deliver the previous LNG cargo from the US to Poland, while the first shipment will be delivered to the 170,000-cbm FSRU Independence in Lithuania’s Klaipeda.

This supply further strengthens the energy partnership between the two companies and “supports the delivery of a reliable resource to Ukrainian consumers,” Naftogaz said.

“As we prepare for the next heating season, such contracts remain a key element of our strategy to diversify supply and bolster the country’s energy resilience,” the company said.

Ukraine has no LNG import facilities.

Orlen has contracts with US LNG producers Cheniere and Venture Global LNG.

The firm has secured long-term regasification capacity at the FSRU-based facility in Klaipeda, reserved until 2032, allowing it to import via the terminal over 0.5 billion cubic meters of natural gas annually.

It also uses KN Energies’ small-scale LNG terminal in Lithuania’s Klaipeda.

In Poland, Orlen imports LNG via the Gaz-System-operated import facility in Swinoujscie, which was expanded to about 8.3 bcm per year.

In addition,  Orlen booked 6.1 bcm per year of regasification capacity at Gaz-System’s planned FSRU-based LNG import facility in Gdansk.