Poland's PGNiG Receives LNG Delivery from U.S.

WARSAW (Reuters) — Poland’s dominant gas firm PGNiG received a third delivery of liquefied natural gas (LNG) from U.S. company Cheniere on Tuesday under a long-term contract as Warsaw plans to reduce reliance on Russian supplies. 

Poland still imports most of the gas it consumes from Russia, but has taken steps to reduce that dependence so it does not have to extend the long-term deal with Gazprom on gas supplies beyond 2022 when it is scheduled to expire.

The country has significantly increased LNG purchases via its terminal in Swinoujscie on the Baltic Sea following PGNiG deals with Qatar and the United States.

On Tuesday LNG carrier “GasLog Warsaw” arrived at the Swinoujscie terminal from Sabine Pass, Louisiana with a cargo of 70,000 tonnes of LNG or 95 million cubic metres after regasification.

This was the third delivery under the contract signed with Cheniere in 2018 and second this year, PGNiG said.

“Despite the global turbulences related to the coronavirus pandemic, LNG supplies flow to Poland without any interruptions and as planned,” PGNiG Chief Executive Jerzy Kwiecinski said in a statement.

PGNiG signed a long-term deal with Cheniere Marketing International in 2018 under which PGNiG was to receive a total of 0.52 million tonnes of LNG in the period 2019-22 and 29 million tonnes from 2023-42.

After regasification, this corresponds to 0.7 bcm of gas by 2022 and 39 bcm in 2023-2042. Starting from 2023, PGNiG will receive 1.45 mln tonnes of LNG, or 1.95 bcm of gas, each year.

Poland received its first LNG cargo from the United States in 2017, a spot delivery from Cheniere Energy.

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