Moldova plans to use Ukraine's underground storage facilities to create gas reserves

CHISINAU. March 31 (Interfax) - Moldova and Ukraine are discussing the creation of gas reserves in underground storage facilities in Ukraine, the Moldovan Energy Ministry reported.

"Moldova expressed its interest in using Ukraine's underground gas storage to create its own gas reserves," the ministry said following talks between Moldovan Energy Minister Dorin Junghietu and his Ukrainian counterpart, German Galuschenko, in Kiev.

The discussions addressed the security of both countries' energy supplies, the development of alternative gas transportation routes, electricity supply and the integration of energy markets. The parties emphasized the importance of coordinating cooperation with the European Union, the ministry said.

The parties also discussed possible ways that Ukraine could help facilitate the supply of electricity from the EU to Moldovan consumers, and underlined the importance of observing ENTSO-E limits in order to make it possible for European countries to supply electricity to Ukraine and Moldova.

Moldovan authorities took the decision to create a strategic natural gas reserve of 100 million cubic meters last year. This was later reduced to 50 million cubic meters due to a need to divert supplies to commercial markets, the Moldovan Energy Ministry said.

Former Moldovan Minister of Energy Victor Parlicov said at the end of last year that Moldova pumped over 200 million cubic meters of natural gas into storage facilities during the winter period, enough to supply the republic's consumers for one month in winter. He said that 50 million cubic meters had been pumped into gas storage facilities in Ukraine and Romania by decision of the government. The same volume was stored up by state pipeline company Energocom in accordance with EU directives. Commercial reserves belonging to the company Moldovagaz and stored in Ukraine were estimated at 100-120 million cubic meters of gas.