• 3 minutes e-car sales collapse
  • 6 minutes America Is Exceptional in Its Political Divide
  • 11 minutes Perovskites, a ‘dirt cheap’ alternative to silicon, just got a lot more efficient
  • 6 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 10 days Does Toyota Know Something That We Don’t?
  • 4 days America should go after China but it should be done in a wise way.
  • 10 days World could get rid of Putin and Russia but nobody is bold enough
  • 5 hours "What’s In Store For Europe In 2023?" By the CIA (aka RFE/RL as a ruse to deceive readers)
  • 12 days China is using Chinese Names of Cities on their Border with Russia.
  • 5 hours The European Union is exceptional in its political divide. Examples are apparent in Hungary, Slovakia, Sweden, Netherlands, Belarus, Ireland, etc.
  • 1 day Even Shell Agrees with Climate Change!
  • 2 days Oil Stocks, Market Direction, Bitcoin, Minerals, Gold, Silver - Technical Trading <--- Chris Vermeulen & Gareth Soloway weigh in
  • 4 days How Far Have We Really Gotten With Alternative Energy
  • 12 days CHINA Economy Disaster - Employee Shortages, Retirement Age, Birth Rate & Ageing Population
  • 13 days Putin and Xi Bet on the Global South

Ukraine Opposes U.S. LNG Pricing Formula 

Ukraine’s state-held gas firm Naftogaz is reportedly opposed to the pricing formula for U.S. liquefied natural gas (LNG) it could receive under a long-term contract, while there isn’t enough infrastructure ready to ship American LNG from Poland into Ukraine, analysts have told DW.

The U.S. is eager to supply its LNG to central and eastern European markets, especially Poland and Ukraine, arguing that American gas is superior to gas from Russia, which binds economic contracts with politics.

However, talks between Louisiana Natural Gas Exports Inc and Ukraine’s Naftogaz have stalled, reportedly because the Ukrainian company doesn’t agree with the U.S. firm’s proposal to have the price of the LNG under a 20-year contract linked to the U.S. natural gas benchmark Henry Hub, without any reference to European gas prices, analysts told DW.  

In May, the government of Ukraine, which is keen to wean itself off Russian energy supplies, approved a plan to import LNG from the United States. Under the memorandum approved by the government, Ukraine would be importing at least 5.5 billion cubic meters of LNG annually, while the seller will be Louisiana Natural Gas Exports, according to acting energy minister Olga Buslavets.

Ukraine has been seeking for years to diversify its oil and gas supplies away from Russia after Russia annexed Crimea in 2014. The Russian annexation of Crimea drew reactions from the U.S. and the EU, which imposed sanctions on some Russian energy firms and projects, prohibiting Western firms and banks from working with Russian projects.

Ukraine and Poland, both of which seek diversified energy supplies, signed in August last year a trilateral memorandum of cooperation with the United States to enhance the regional security of natural gas supply.

Earlier in May, the Ukrainian port Odessa on the Black Sea also received its first-ever crude oil cargo of WTI Crude from the United States, after the U.S. shipped its first oil to Ukraine just last year. Ukraine’s first-ever U.S. crude oil cargo was received in July last year when a tanker carried 80,000 tons of Bakken crude to the port of Odesa.  

By Charles Kennedy for Oilprice.com

ADVERTISEMENT

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News