PGNiG Eyes Partnership to Build GTL in Poland

Polish gas and oil company PGNiG says it is interested in building the first European GTL (gas-to-liquids) refinery in Poland.

"Project of this kind would need multi-billion investment" - Dziennik Gazeta Prawna quotes Vice-chairman of the PGNiG as saying. Marek Karabula notes, that partnership for investment of  this scale would be necessary. He says that the PGNiG has already started to look for partners, although he avoids naming any companies.

Some of the large oil & gas companies, that are exploring shale gas opportunities in Poland, including Chevron and ConocoPhillips, have recently taken a strong interest in GTL technology. 

GTL is a refinery process converting gas to usable liquids, mostly low-sulphur diesel fuel  and naphta  or other hydrocarbon products. Shell and Sasol have been operating GTL facilities for years. After the opening of Shell/Qatar Petroleum Pearl refinery this summer, the world production is soon to reach 350 barrels of BTL products daily.

Gas transport and storage infrastructure is often pointed out as one of the barriers of efficient shale gas development in Poland. Converting gas to liquids may help to overcome the transport barrier, as i.e. GTL diesel fuel can be distributed through the conventional diesel infrastructure.