Klaipedos Nafta, Lietuvos Dujos to Link LNG to GTS

Lithuanian terminal operator Klaipedos Nafta and Lithuanian gas company Lietuvos Dujos have signed an agreement which will see the Klaipeda LNG terminal connected to the country's gas transport system (GTS).

In a press released issued at the end of the week, Klaipedos Nafta said that the terminal would begin using the GTS from the end of 2014.

"The parties agreed, that in accordance with established technical parameters the company shall have a right to connect the LNG terminal to the natural gas transmission system and shall have a right to use the natural gas transmission system as of 3 December 2014," the press release said.

The company, which is aiming to begin supply to the Port of Klaipeda terminal by the 1st of January 2015, began seeking potential LNG suppliers in October last year. That process is now in its final stages with final tenders received on the 18th of February 2012. A decision has yet to be reached on the winning tender bidder.

Lithuania has turned to the supply of LNG in an attempt to further break its reliance on Russian gas imports. Currently the country imports the bulk of its gas from Russian major Gazprom. However, when operational, the Klaipeda LNG terminal will supply at least 25 per cent of Lithuania's gas needs, as ordered by a directive of the country's government in June last year.