Naftogaz has contracted the second batch of American LNG gas. Why are supplies increasing?
18 March 14:21
NJSC Naftogaz of Ukraine has signed a contract for the supply of about 100 million cubic meters of liquefied natural gas (LNG) with ORLEN, a Polish company that is one of the largest oil corporations in Central and Eastern Europe. This was reported by the press service of the Ukrainian company, according to
The fuel will come from a batch of American LNG. After regasification, the gas will be transported to the Polish-Ukrainian border. The gas will be delivered to Ukraine in April. It will be used to create a strategic fuel reserve for the next heating season.
This is the second fuel supply contract signed under the Memorandum of Understanding between the companies. The first one also provided for the supply of 100 million cubic meters of LNG.
“We continue to work on diversifying our sources of supply to ensure the reliability and availability of gas for the country,” said Roman Chumak, CEO of Naftogaz Group.
As previously reported, Naftogaz and ORLEN signed a memorandum of cooperation in the field of liquefied natural gas (LNG). The document launches a long-term strategic cooperation between the companies and will allow Ukraine to create a more diversified gas supply system.
The first LNG supply to Ukraine took place in December
D.Trading, DTEK’s trading arm, delivered the first cargo of liquefied natural gas from the US to Ukraine last December via an import terminal in Greece.
To avoid high transportation costs, D.Trading is not physically bringing LNG to Ukraine, which has no import terminal. It will use terminals in Europe to deliver the LNG and sell it to partners in Greece, Bulgaria or Hungary. The firm will then use swaps to physically pump gas into Ukraine from the European gas system.
Bloomberg reported that DTEK expects to announce a deal to import liquefied natural gas to Ukraine within the next two months. In an interview, the company’s CEO Maxim Timchenko said that DTEK, through its trading division, is negotiating with several sellers on a two-year supply contract. According to him, most of the potential partners are in the US.
Ukraine sees great potential for cooperation with the US on LNG supplies
Commenting on the possibility of purchasing LNG from the United States, Ukraine’s Foreign Minister Andriy Sybiga emphasized that Ukraine has extremely powerful underground gas storage facilities, and there are common grounds for mutually beneficial cooperation and strengthening Europe’s energy security. The Ukrainian Foreign Minister made this statement on February 5 at a joint press conference with British Foreign Secretary David Lammy.
According to Andriy Sybiga, this gas will be enough if pumped into Ukrainian storage facilities to establish Ukraine’s role as a guarantor of energy security in Europe.
Why Ukraine is increasing supplies of American LNG
The main reason for the increase in gas supply needs is Russia’s attacks on Ukraine’s gas infrastructure.
According to Reuters , before the recent Russian attacks, the country’s daily gas production was 52-53 million cubic meters, but the attacks on infrastructure led to a 40% drop in this figure, forcing Ukraine to increase gas imports.
By mid-October 2025, at least 13 billion cubic meters of gas must be in Ukrainian storage facilities to successfully pass the 2025-2026 winter season. Usually, the process of filling the storage facilities begins in April, Reuters reminds.
The agency, citing its sources, also reported that Ukraine plans to purchase at least 4 billion cubic meters of gas from April to October. Up to half of this volume will be LNG gas delivered to European terminals. Much of this liquefied natural gas may be supplied from the United States. Ukraine is counting on routes through Poland and Lithuania, as they are the most economical.
