Naftogaz, the Ukrainian gas company, says it wants to buy 2 billion cubic meters of gas for 1 billion Euros

Naftogaz, Ukraine's state-owned oil and gas company, is in negotiations with the government and international financing institutions to raise one billion euros for the purchase of over two billion cubic meters gas for the heating season 2025/26.

In a press release, it said that 430 millions euros would be provided by the EBRD to buy an additional 1 bcm gas. Another 0.1 bcm LNG would come from Poland’s Orlen.

After Russian missiles damaged the production facilities to the east of Ukraine, Ukraine was forced to increase gas imports and withdraw more gas from storage this winter and in the spring.

In a press release, Naftogaz CEO Roman Chumak stated that "1.5 bcm" of gas had been contracted since the start of the year: 800 mcm was urgently imported in the first quarter of this year and 400 mcm is being delivered to Ukraine as preparation for winter next year.

He stated that Orlen in Poland would provide a total 300 mcm LNG.

Sources in the industry told us earlier this month Orlen plans to sell 10 LNG cargoes to Ukraine this coming year, as Kyiv tries to fill up gas storage sites before winter.

Ukraine has received two cargoes containing 200 mcm LNG.

Serhiy Makogon said that Ukraine would need to import up 6.3 billion cubic meters of gas to meet its winter needs in 2025/26. This is because the country's reserves are at a record-low due to damage caused by war to certain facilities.

Makogon pointed out that Naftogaz announced the volume of imports required at a lower amount of 4.6 billion cubic meters. (Reporting and editing by Kirsty Donovan; Pavel Polityuk)

(source: Reuters)