Azerbaijani gas opens new opportunities for Ukraine

Ukrainian state energy company Naftogaz in central Kyiv, Ukraine December 2, 2019.
Reuters

The Trans-Balkan gas pipeline has increased the volume of gas 2.6 times following the first deliveries of Azerbaijani natural gas to Ukraine, according to the Ministry of Energy of Ukraine.

A new agreement between Ukraine's Naftogaz and Azerbaijan's SOCAR for gas purchases was signed on Monday (28 July).

In a statement, the ministry noted, that “This, in turn, has opened up additional opportunities for diversifying sources of supply and for the more efficient utilisation of Ukraine’s underground gas storage facilities.”

Earlier this week, Ukraine began importing Azerbaijani gas for the first time via the Trans-Balkan route.

"For the first time, a test shipment of gas is being delivered through the Transbalkan route along the Bulgaria–Romania–Ukraine corridor," Naftogaz said in a statement on its website.

Ukraine said in May that its energy regulator had approved a gas import mechanism that will avoid the high transit fees for gas supplied through the Transbalkan pipeline from Greece to Ukraine.

The country has faced a serious gas shortage since missile strikes this year, which significantly reduced domestic gas production.

The state-owned Naftogaz Group signed its first supply agreement with SOCAR Energy Ukraine, marking a significant step toward energy diversification and regional cooperation.

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