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Poland´s PGNiG signed a long-term contract to buy natural gas from Denmark

Poland´s PGNiG signed a long-term contract to buy natural gas from Denmark

Warsaw, October 22 - Neftegaz.RU. An agreement on gas import from Denmark to Poland was signed by PGNiG’s Supply & Trading (PST) with Danish company Ørsted.
The contract will be valid from the beginning of 2023 until October 2028.
During this time, PGNiG is to purchase almost 6.5 billion m3 of Danish natural gas.

Denmark is linked to Germany via the interconnector at Ellund and will be linked to Norway and Poland via the pipeline Baltic Pipe which is currently under construction.

Jerzy Kwieciński, CEO of PGNiG:
  • The agreement between Ørsted and PST provides a solid basis for a further strengthening of relations between both companies.
  • It also means more security and diversification in the European gas market.
  • Specifically, after a commissioning of the Baltic Pipe, PGNiG will be able to deliver gas supplied by Ørsted in Denmark to Poland as a part of its diversified natural gas portfolio.

Morten Buchgreitz, CEO of Ørsted Markets & Bioenergy:
  • When the Tyra field resumes delivery to Denmark, the amount of natural gas from the Danish North Sea in the market will increase significantly, and with this agreement PST will offtake a substantial amount of the natural gas that Ørsted expects to receive,” said .

Under this agreement, Ørsted will resell some of the natural gas that it receives from the Danish part of the North Sea to PST, e.g., from the Tyra field, which is Denmark’s largest gas reservoir.
Currently, the Tyra platform is under redevelopment to extend its operational life by at least 25 years.
For this reason, production from Tyra was halted in 2019 and is expected to resume in 2022.

Currently, the annual gas consumption in Poland is about 19 billion m3.
The raw material comes to Poland from Russia, USA, Qatar and Norway.

To read the article in Russian.

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