Poland Books New Capacity at LNG Terminal
Polish state-owned natural gas import monopoly PGNiG will be able to import 8.3bn m³/yr at the country's state-owned LNG terminal in Swinoujscie, it said in a May 22 statement newly published in English.
The terminal's capacity is being expanded with effect from 2024 and the contract lasts for 17 years. However the operator's website gives capacity as only 7.5bn m³/yr, at that date, up from 5bn m³/yr today.
The Polish government said that the terminal "is one of the pillars of Poland’s natural gas security, and its extension is a step towards strengthening the country’s energy independence. PGNiG’s rising prominence on the LNG market demonstrates the fast growth of companies supervised by the ministry of state assets." No other companies have been named in connection with the terminal's use.
PGNiG said it was "satisfied with the regasification capacity we have been allocated. It will enable us to effectively implement PGNiG’s plans to diversify gas imports and expand its trading activities on the gas market in central and eastern Europe."
Polskie LNG, the operator of the terminal, said that in an open season procedure that started in February, PGNiG had been allocated an annual LNG regasification capacity of 6.2bn m³ in 2022–2023 and 8.3bn m³ from 2024 onwards. The two have yet to sign the contract.
At present, PGNiG has 5bn m³/yr of regasification capacity booked at the terminal, which is all of the plant; but it said "its needs are constantly growing. PGNiG receives a growing number of spot cargoes, also increasing gas volumes imported from the US under long-term contracts. To note, PGNiG will receive some 1.95bn m³ of LNG after regasification annually in Swinoujscie under a contract with a US company Cheniere starting from 2023."
Qatar and Norway are among PGNiG's other foreign suppliers as it reduces imports from Russia. Last year, LNG accounted for 23% of PGNIG’s total gas imports, compared with just 8.4% in 2016. The share of imports from countries east of Poland fell from 89% in 2016 to 60% in 2019, it said. Its contract with Gazprom, against which it won a major price arbitration dispute, expires next year.