In January-April 2020 gas injection into UGS increased by 33%

In January-April this year 2 318 mcm of gas were injected into Ukrainian storage facilities – 33% above 2019 figures.

Foreign traders make significant contribution in domestic gas storage injection. In the first four months of this year, they injected 551 mcm (24% of total injection). This is 162% above last year figures.

Three key factors may explain this positive trend for Ukrainian UGS and GTS.  European gas storage is almost full to the brim, gas prices on the world market decline and Ukraine has favorable conditions for transport and gas storage. Thus, European players more often choose Ukrainian UGS for seasonal gas storage.

As on May 1, 2020 non-residents stored 1 173 mcm of gas in custom warehouse regime. In comparison with last year gas volume of foreign companies increased in 5.5 times.   

Residents’ stocks also increased significantly, by 6.7 times. As on May 1 this year, they stored 1 197 mcm in custom warehouse regime.

More often foreign traders use short-haul service for gas transportation to Ukrainian underground storage facilities. Using cross-border interconnection points in the Western Ukraine, they get attractive transportation discount.

In February 2020 non-residents companies transported 15 mcm to UGS under these tariffs, in March – 59 mcm and 225 mcm in April.

Today Ukrainian UGS services are used by companies from Austria, Estonia, Germany, Poland, Slovakia, USA, France and Switzerland.