Poland is considering a second LNG import terminal to further reduce its reliance on Russian gas imports. Polish gas system operator Gaz-System said on March 27 that it would launch a feasibility study into the project this year, with a view to it possibly coming online by 2021.
The new terminal would be located at Gdansk Bay, and would comprise a 4-8 bcm/yr floating storage regasification unit (FSRU), costing about 700 million euros ($760 million).
The country’s first LNG terminal, which is also located on the Baltic coast at Swinoujscie, began commercial operations last year and is due to reach its full import capacity of 5 bcm/yr in 2018.
Norse pipe option
Warsaw has also been considering the construction of a pipeline to bring in gas supplies from Norway, and is continuing to pursue shale gas opportunities, although with little success so far. The Baltic Pipe option from Norway is strongly favoured by the government, and would bring gas from the Norwegian North Sea via Denmark to Poland.
In March, Polish Foreign Minister Witold Waszczykowski made the case to his Norwegian counterpart Borge Brende for the 6 bcm, 230-km pipeline, which would form part of the so-called Northern Corridor project. Waszczykowski said he hoped the pipeline could be built by 2023. The Norwegian minister said any decision to proceed would have to be made on a sound commercial basis.
Germany and Russia have combined to omit Poland from the route of the Nord Pipe II, reducing the country’s market power in negotiations with dominant supplier Gazprom. Gazprom currently sells around 10 bcm per year of gas to Poland, which has annual consumption of 15-16 bcm. The Russian company has a sales contract with Warsaw that expires in 2022, which the Polish government does not intend to renew, but it needs an alternative supply.