German Chancellor Angela Merkel said she was not as critical as Kyiv about the Nord Stream 2 gas pipeline and was in favor of Ukraine preserving its transit role after 2019. “We know that Ukraine is against this project. I am less critical about the project and I am in favor of Ukraine having guarantees, that Ukraine will preserve its transit role,” she said at a meeting with the Ukrainian parliament speaker, Andriy Parubiy, and the heads of parliamentary groups in Kyiv.
She noted that the negotiations on Nord Stream 2 are being conducted with both Russia and the European Commission. “The matter concerns creating a transit agreement. We want Ukraine to remain an important transit country,” Merkel emphasized. The chancellor noted that in addition to Nord Stream there is also TurkStream. “Thus, gas flows are expanding from Russia to the European Union, but this does not mean that we want to reject the transit role of Ukraine. I think that gas transit revenues are extremely important for the budget of Ukraine,” she said.
Merkel noted that Berlin “very seriously” considers the strategic opinion of Ukraine on the issue of Nord Stream 2. “We want to see Ukraine as a partner with respect to transit,” she said.
Prior to this, Verkhovna Rada Chairman Andriy Parubiy called on Merkel to study in more detail the arguments of Ukraine against the construction of the Nord Stream 2 gas pipeline.
“The construction of Nord Stream 2 could bring imbalance and threaten the security of not only Ukraine but the entire European space. And this is the position of the Ukrainian parliament. I would ask that the arguments of the Ukrainian side be studied more in detail,” Parubiy said during a meeting with the German chancellor in Kyiv.
The speaker called for supporting the position of the Ukrainian parliament on the Nord Stream 2 issue.
Ukraine after the completion of the heating season increased its natural gas reserves in the underground gas storage facilities by 9.469 billion cubic meters (bcm), according to data from Ukrtransgaz. So, from April 8 to October 20, 2018 gas inventories rose by almost 2.3 times, from 7.435 bcm to 16.904 bcm.
According to the calculations of the Interfax-Ukraine agency, on October 1 through October 20 gas storage facilities were replenished by 669.29 million cubic meters (mcm, 33.46 mcm per day), in September by 1.595 bcm (53.17 mcm a day), in August by 1.793 bcm (57.85 mcm per day), in July by 1.655 bcm (53.38 mcm per day), in June by 1.623 bcm (54.09 mcm per day), in May by 1.632 bcm (52.65 mcm per day), April 9-30 by 500.84 mcm (22.77 mcm per day).
Ukraine came out from the 2017/2018 heating season with the minimum stocks in the last four seasons due to the frosty March-early April.
As reported, the Cabinet of Ministers of Ukraine expects that gas inventories by November 1, 2018 will amount to 17 bcm.
Global energy and commodity price reporting agency Argus Media has launched a Ukrainian natural gas price assessment to bring transparency to a rapidly evolving market.
The new assessment is an important step in the evolution of a freely traded Ukrainian gas market, which has developed since imports from Europe began at the end of 2015, replacing supplies from Russia. A growing number of international trading companies are active in the market, along with domestic gas producers, traders and consumers,” according to a report on the company’s website.
“Ukraine is a large market, and the country has ambitions to align with the EU’s rules on natural gas and electricity, which could make it a more attractive location to trade. Ukraine consumed 30.6 billion cubic meters of natural gas in 2017, placing it in line with some of Europe’s biggest markets. And Ukraine operates a gas storage system that is larger than any in Europe, at a time when market flexibility is at a premium. Trading firms and gas companies inject supply into storage during the summer when demand is low. As temperatures fall in the winter, storage withdrawals are made to meet heating requirements,” it reads.
“Argus is dedicated to providing independent coverage of the Ukrainian gas and power markets. Our focus on Ukraine is because of its growing importance to the European energy system, rapid development and size. This assessment is the culmination of dedicated research and development on the part of our editorial teams in Kyiv and London,” Argus Chairman and Chief Executive Adrian Binks said.
Argus’ Kyiv office opened in 2008, producing motor fuel, LPG and other price assessments, news and analysis.
Naftogaz Trading gas supply company LLC on October 12 signed first contracts on the sale and purchase of natural gas using the new sales format. Gas has been supplied under all of the signed contracts.
The press service of Naftogaz Ukrainy reported that since October 2018, gas is sold to industrial enterprises via Naftogaz Trading with the introduction of the new model for selling gas, and Naftogaz sells gas only under long-term contracts.
The price of gas could change several times a day in line with the changes on the European market and hryvnia exchange rate fluctuations.
“The new gas sales model is flexible and convenient for both the supplier and the consumer. Its implementation will contribute to the development of the Ukrainian gas market and bring it to global standards,” Naftogaz Ukrainy Chief Commercial Officer Yuriy Vitrenko said.
Ukraine after the completion of the heating season increased its natural gas reserves in the underground gas storage facilities by 9.243 billion cubic meters (bcm), according to data from Ukrtransgaz. So, from April 8 to October 14, 2018 gas inventories rose by almost 2.2 times, from 7.435 bcm to 16.678 bcm.
According to the calculations of the Interfax-Ukraine agency, on October 1 through October 14 gas storage facilities were replenished by 443.72 million cubic meters (mcm, 31.69 mcm per day), in September by 1.595 bcm (53.17 mcm a day), in August by 1.793 bcm (57.85 mcm per day), in July by 1.655 bcm (53.38 mcm per day), in June by 1.623 bcm (54.09 mcm per day), in May by 1.632 bcm (52.65 mcm per day), April 9-30 by 500.84 mcm (22.77 mcm per day).
Ukraine came out from the 2017/2018 heating season with the minimum stocks in the last four seasons due to the frosty March-early April.
As reported, the Cabinet of Ministers of Ukraine expects that gas inventories by November 1, 2018 will amount to 17 bcm.
Ukraine has resumed imports of natural gas via Slovakia, suspended from October 2 through October 6 over the scheduled repair works.
According to Slovakia’s Eustream transmission operator, gas supplies on October 7 totaled 23.6 million cubic meters (mcm), which is slightly lower than average imports in September. The application for October 8 is also 23.6 mcm.
As reported, according to the schedule of repair, the second section line of the Dolyna-Yuzhgorod-state border gas pipeline is being repaired, in particular, at compressor stations Dolyna, Rososh, KS-1 and KS-2 Yuzhgorod.
Ukraine in January-September 2018 reduced import of natural gas by 24.7% (by 2.640 billion cubic meters, bcm) compared to the same period in 2017, to 8.065 bcm. Imports from Slovakia during this period amounted to 5.017 billion cubic meters of gas (36.4% less compared to January-September 2017), from Hungary to 2.509 billion cubic meters (27.9% more), Poland to 538.7 million cubic meters (37.4% less).
Ukrtransgaz, fully owned by Naftogaz Ukrainy, operates a system of trunk gas pipelines and 12 underground gas storage facilities in the country.
