11:49 03.07.2014

Naftogaz says 20 European firms interested in supplying gas to Ukraine via Slovakia

2 min read
Naftogaz says 20 European firms interested in supplying gas to Ukraine via Slovakia

Eustream a.s., Slovakia's gas pipeline operator, has said in a statement it had finalized the evaluation of the Open Season procedure.

"As part of the market survey for gas transmission via the Vojany-Uzhgorod pipeline a number of shippers have expressed their interest and submitted their binding bids to Eustream," it said.

"Eustream has evaluated the Open Season as successful. The results have confirmed the market interest in gas transmission through the Vojany-Uzhgorod pipeline in direction to Ukraine," it said.

The Open Season procedure has been launched on May 26, 2014 in accordance with the Memorandum of Understanding signed between the Slovak company Eustream and the Ukrainian company Ukrtransgaz on April 28, 2014 in Bratislava in presence of both countries. On grounds of successful results of the Open Season Eustream continues in implementing the memorandum of understanding and commissioning of Vojany pipeline.

Eustream said the Open Season procedure had now ended. The newly established interconnection point Budince with its exit capacity will be added to the other existing interconnection points of Eustream's network and shall be offered to the market at standard and non-discriminatory conditions.

The interconnection of Slovakia and Ukraine by means of the newly established interconnection point Budince in the vicinity of existing interconnection point Velke Kapusany interconnecting the transmission networks of both companies Eustream and Ukrtransgaz shall facilitate new opportunities for gas transmission and bolster the cross-border liquidity, Eustream said.

Some 20 European companies have expressed an interest in supplying gas to Ukraine via Slovakia, Naftogaz Ukrainy said.

"The convincing results of the Open Season confirm that gas supplies from the EU to Ukraine are a commercially attractive and legally correct business. The major Ukrainian market is of great interest to the Europeans. There's no doubt that Slovakia's transmission capacity towards Ukraine will be in demand not just where the Vojany-Uzhgorod pipeline is concerned but also one of the four underutilized trunk gas pipelines at the interconnection point Velke Kapusany," Naftogaz CEO Andriy Kobolev said.

Ukraine expects to begin gas imports in reverse mode from the EU via Slovakia, using the Vojany-Uzhgorod pipeline, from September 1.

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