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Polish LNG terminal expects to receive first shipments in July 2016

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LNG Industry,

According to Reuters, a new Norway-Poland pipeline and an LNG terminal will enable Poland to decrease its dependence on Russian gas. They will also help make Poland a regional gas trading hub.

Reuters reports that the US$794 million LNG terminal, which is located by the Baltic sea, is expected to have its first commercial shipments delivered in July 2016. In addition to this, PGNiG renewed plans in late 2015 to construct a pipeline to receive gas from Norway.

In a conference, Janusz Kowalski, the PGNiG deputy, said: “Thanks to the terminal and the Norway link this big dream of Poland becoming a gas hub could materialise.”

Currently, Qatargas has agreed to a supply contract with PGNiG for the terminal. Under the deal, 1.5 billion m3 will be delivered to the terminal for a 20-year period, which commenced when the facility began operations in 2014. However, LNG could also be purchased from the US, and the capacity of the terminal has the potential to increase from 5 billion m3 to 10 billion m3.

Reuters reports that Piotr Naimski, a government energy official, said: “We need two if not three sources of gas supplies.

"The LNG terminal is not enough and that is why we should gain access to another source, which is the pipeline to Norway. The government has decided that the project should be developed."

Edited from various sources by David Rowlands

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