2012-04-16 18:29

Lithuania to discuss gas supply to Klaipėda with Qatar

Lithuania plans to discuss the possibility of gas supply for its planned liquefied natural gas (LNG) terminal in Klaipėda with Qatar, one of the world's biggest natural gas suppliers, Energy Minister Arvydas Sekmokas said on Monday.
Arvydas Sekmokas
Arvydas Sekmokas / Šarūno Mažeikos/BFL nuotr.

"Certainly, the aim of the visit is the development of a natural gas alternative. We need more than one supplier. We don't seek to replace one supplier with another. What we seek is to ensure competition. The more potential suppliers there are, the more important it is for us to ensure competitive conditions in the market and competition to Gazprom," he told reporters.

Sekmokas and Rokas Masiulis, CEO of  Klaipėdos Nafta (Klaipėda Oil), which is carrying out the LNG terminal project, will accompany Lithuanian President Dalia Grybauskaitė on her visit to Qatar scheduled for 29 April.  The President's Office said last week that the prospects for ensuring cheaper gas supply to Lithuania would be discussed during the visit. 

Asked if Qatar could become a potential gas supplier to Lithuania, Sekmokas said that this would become clear during the visit.

"We'll see that during the meeting. The country is a liquefied natural gas exporter. Therefore, the meeting is very important," he said.

As part of his visit to Oslo last week, Sekmokas met with officials from Norway's oil and gas company Statoil.

"The visit was important. We met with Norway's energy minister. Norway does support our steps in the field of electricity and our LNG project. They understand the supply security issue. Statoil stated their interest in our LNG terminal and said that there were possibilities for cooperation," he said.

Sekmokas told BNS later in the day that potential gas supplies for Lithuania's LNG terminal included the United States, Norway and Arab countries.

As part of its search for potential gas suppliers for the planned LNG terminal, Klaipėdos Nafta discussed possible supplies with Azerbaijan's state oil company Socar several weeks ago. The Lithuanian company has signed letters of intent on LNG supplies with Spain's Gas Natural Fenosa and US Cheniere.

Russia's gas giant Gazprom has declared its intentions to supply gas as well. According to media reports, Klaipėdos Nafta is also discussing the supply of gas with international companies British Petroleum, Shell and others.

Klaipėdos Nafta plans to launch a tender this year for the supply of gas to the LNG terminal, expecting to sign a gas supply contract in the second half of the year.

The terminal is planned to be launched in late 2014, with about a billion cubic meters of gas expected to be pumped via the facility in the first year of operation. It is planned that the LNG terminal will have an annual capacity of 2 billion to 3 billion cubic meters.

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