Ukraine will develop the LNG market together with Qatar

The Ministry of Energy announced that Ukraine, together with Qatar, will develop the LNG market. So, among the promising areas of cooperation between the two states: medium and long-term LNG contracts, the construction of LNG/LPG plants and the development of natural gas transport, investments in the gas transportation system, the oil refining industry and Ukrainian hydrocarbon production.

This was stated by Deputy Energy Minister Maksym Nemchinov during the second meeting of the Joint Commission on Economic, Trade and Technical Cooperation between the Government of Ukraine and the Government of the State of Qatar.

“LNG is one of the alternative directions of natural gas supplies to Ukraine, which can ensure diversification of energy supplies. This will help to strengthen the energy security of Ukraine after 2024,” Maksym Nemchinov said.

Ukraine has significant prospects for the development of the LNG market. In particular, the existing reverse supplies of natural gas in the amount of 10 to 14 billion m3 through Slovakia, Hungary and Poland. In the medium term (5-7 years), Ukraine can diversify gas supplies by arranging LNG supplies through the infrastructure of neighbouring states or by rebuilding its infrastructure.

“The geopolitical situation and the decrease in transit volumes force us to look for new areas of trade and cooperation to ensure the workload of our own gas transportation system. That is why cooperation with the State of Qatar in terms of LNG supplies is an important priority for us,” the Deputy Minister noted.

He outlined the following promising areas of partnership:

  • possible options for concluding LNG contracts, starting from 2022 (on a medium- and long-term basis);
  • cooperation in the construction of LNG/LPG plants and the development of transport using natural gas (CNG/LNG) as fuel;
  • attracting investments in the gas transportation system, oil refining industry and Ukrainian hydrocarbon production.

Among the main areas for the future partnership of Ukraine and Qatar, Maksym Nemchinov also noted decarbonization and hydrogen energy.

As a result of the meeting of the Commission, a protocol was signed that consolidates cooperation between Ukraine and Qatar in the energy sector, in particular, in the field of energy efficiency, renewable energy, and the gas industry.

To recap, Ukraine and Qatar signed a Memorandum of Cooperation in the oil and gas sector.

As reported, in September last year, the American company refused to supply LNG to Ukraine.

Tags: gas, , LNG, foreign affairs, Gas market, investments, agreement, hydrogen, decarbonisation, infrastructure, The Ministry of Energy, gas transmission system

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