Ukraine, Poland to boost capacity of gas interconnector to 12.4 million сubic metres
"The Polish route is one of the most important gas import destinations for Ukraine. Its role will only grow, as Poland's gas transmission system provides access to diversified sources of natural gas, including liquefied gas from around the world," it said on the Telegram messenger.
The ministry noted that in order to ensure stable capacity, the Polish company Gaz-System would carry out the reconstruction of the Hermanowice gas metering station.
Gaz-System told Reuters this spring that the upgrade of the Hermanowice station would be ready at the end of 2025 or early 2026 and could cost 8 million zloty ($2.12 million).
Ukraine has said it wants to import large volumes of U.S. LNG via Germany, Greece, Lithuania and Poland ahead of the heating season, after Russian shelling left the country with storage almost empty.
Naftogaz, Ukraine's state energy firm, and Polish refiner Orlen have agreed to cooperate in the LNG sector. Naftogaz has already bought 300 million cubic metres (mcm) of LNG from Orlen.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Reuters
a day ago
- Reuters
Construction costs rise at Canada's Woodfibre LNG project
CALGARY, Aug 1 (Reuters) - Construction costs at Canada's Woodfibre LNG project have increased, driving up capital costs for all partners involved, Canadian pipeline company Enbridge ( opens new tab reported on Friday. The Woodfibre LNG project is a 2.1-million tonne liquefied natural gas export facility under construction near Squamish, British Columbia. The project is one of several new LNG facilities planned for Canada's Pacific coast, and is expected to be complete in 2027. The project's capital cost was initially estimated at US$5.1 billion. But Enbridge, which owns a 30% stake in the project, said Friday on a conference call that costs have recently increased due to permit delays, building code changes, a second floating hotel to accommodate workers, and challenging on-site conditions. "Our share of the project costs have increased from US$1.5 billion to US$2.9 billion, and our partners' proportionate share has increased similarly," an Enbridge spokesperson said in an email. The 70% remaining stake in the Woodfibre project is owned by Pacific Energy Corp Ltd, which is part of the Singapore-based RGE Group of companies. Woodfibre LNG did not immediately respond to a request for comment Friday. Enbridge said Friday it is still expecting low double-digit returns from the project, relatively consistent with what it had initially expected. The company remains excited about the project and the LNG market, Enbridge's spokesperson said.
Reuters
a day ago
- Reuters
US, NATO developing novel funding mechanism for Ukraine weapons transfers
WASHINGTON, Aug 1 (Reuters) - The United States and NATO are working on a novel approach to supply Ukraine with weapons using funds from NATO countries to pay for the purchase or transfer of U.S. arms, according to three sources familiar with the matter. The renewed transatlantic cooperation on Ukraine comes as U.S. President Donald Trump has expressed frustration with Moscow's ongoing attacks on its neighbor. Trump, who initially took a more conciliatory tone toward Russia as he tried to end the more than three-year war in Ukraine, has threatened to start imposing tariffs and other measures if Moscow shows no progress toward ending the conflict by August 8. The president said last month the U.S. would supply weapons to Ukraine, paid for by European allies, but did not indicate how this would be done. NATO countries, Ukraine, and the United States are developing a new mechanism that will focus on getting U.S. weapons to Ukraine from the Priority Ukraine Requirements List, known under the acronym PURL, the sources said. Ukraine would prioritize the weapons it needs in tranches of roughly $500 million, and NATO allies - coordinated by NATO Secretary General Mark Rutte - would then negotiate among themselves who would donate or pay for items on the list. Through this approach, NATO allies hope to provide $10 billion in arms for Ukraine, said a European official, speaking on condition of anonymity. It was unclear over what timeframe they hope to supply the arms. "That is the starting point, and it's an ambitious target that we're working towards. We're currently on that trajectory. We support the ambition. We need that sort of volume," the European official said. NATO declined to comment. The White House, Pentagon, and Ukrainian embassy in Washington did not respond to requests for comment. Russian forces are gradually advancing against Ukraine, and control one-fifth of Ukraine's territory. If a NATO country decides to donate weapons to Ukraine, the mechanism would allow that country to effectively bypass lengthy U.S. arms sales procedures to replenish its own stocks, said one U.S. official, speaking on condition of anonymity. But the NATO country would have to pay the U.S. up front for the speedier replenishment. The money would be paid into a U.S.-held account, possibly at the U.S. Treasury Department, or to an escrow fund, although the exact structure remains unclear, the official said. NATO countries also have the option of simply paying the United States to send weapons directly to Ukraine. In that case, the payment could be made via NATO or directly to the U.S. Department of Defense, said a second source, speaking on condition of anonymity. This would be in addition to the United States' own effort to identify arms from U.S. stockpiles to send to Ukraine under the Presidential Drawdown Authority, which allows the U.S. president to draw from current weapons stocks to help allies in an emergency. At least one tranche of weapons for Ukraine is currently being negotiated under the new mechanism, two sources said, though it was unclear if any money has yet been transferred. Trump's fellow Republicans in Congress have introduced legislation, known as the PEACE Act, that aims to create a fund at the U.S. Treasury in which allies can deposit money that would pay to replenish U.S. military equipment donated to Ukraine. Ukraine's needs remain consistent with previous months - air defenses, interceptors, systems, rockets, and artillery. The last statement of need from Ukraine came at the July 21 Ramstein conference led by EU allies, including Britain.
Reuters
a day ago
- Reuters
Russian rouble expected to weaken by 20% in next 12 months, poll shows
MOSCOW, Aug 1 (Reuters) - The Russian rouble is expected to weaken to 100 against the U.S. dollar in the next 12 months, a 20% decline from its current level, according to a Reuters poll of 14 analysts on Friday, with potential new U.S. sanctions viewed as a major factor influencing the currency. U.S. President Donald Trump has said he will impose new sanctions on Moscow and countries that buy its energy exports - of which the biggest are China and India - unless Russia shows progress by August 8 towards a peace settlement in Ukraine. "The behaviour of the rouble in August will largely be influenced by the specific content of the sanctions measures that Washington plans to implement against the Kremlin," said Finam analyst Alexander Potavin. The rouble dropped 4.3% between July 24 and July 30 on Trump's threats but has since regained much of that ground to trade at around 80 on Friday. Analysts expected the currency to weaken to 83 to the dollar in 30 days from now. "If the sanctions announced by Donald Trump against Russia turn out to be severe and are implemented, the Russian economy and financial market could face a new, profound impact," Potavin added. Most analysts have regarded the Russian rouble as overvalued in recent months and have been saying that it needs to weaken. The Kremlin says that Russia has acquired immunity to sanctions thanks to long experience. In the previous monthly poll, analysts saw the rouble weakening to 98.25 against the dollar in 12 months. The inflation rate, which is subsiding thanks to the central bank's tight monetary policy, the rouble's strength, and a seasonal fall in prices for food and vegetables, was seen at 6.7% in 2025, down from 7.0% in the previous poll. "The decline in consumer prices continued amid summer seasonality. The situation in the labour market and key sectors remained within the trends of recent months," said Sofya Donets, chief economist at T-Bank. The analysts' estimate is in line with the central bank's forecast of between 6% and 7%. They predicted that the bank's key interest rate will come down by another 200 basis points to 16% by the end of the year. However, some analysts said the central bank may adjust its current policy and pause the expected further easing, or even reverse it, if the impact of the new sanctions turns out to be significant.
