GTS Operator of Ukraine extends guaranteed capacity for gas imports from Hungary until March 31, 2023

MOSCOW. May 26 (Interfax) - The Gas Transmission System (GTS) Operator of Ukraine and the Hungarian operator FGSZ have agreed to extend access to guaranteed capacity for natural gas imports from Hungary to Ukraine until March 31, 2023, the GTS Operator of Ukraine said on its website.

"Thus, Ukraine preserves reliable access to the relevant route of gas imports, as since the beginning of 2022 supplies from Hungary accounted for 46% of gas imports to Ukraine, and in 2021 - more than 85%," the company said.

Gas traders may book the necessary capacity at quarterly, monthly and daily auctions, including for the first and second quarters of the 2022/2023 gas year.

"The Hungarian direction is important to Ukraine, in particular due to access to the LNG terminal on Krk Island in Croatia. Ukrainian companies will be able to take advantage of the Hungarian route in preparation for the new heating season," GTS Operator of Ukraine CEO Serhiy Makohon said.

The guaranteed capacity for gas imports from Hungary to the GTS Operator of Ukraine has been available since January 1, 2022, the company said. It allows physical imports of up to 8 million cubic meters of natural gas per day (2.9 billion cubic meters per year). The idea took off as a three-month pilot project, but successful cooperation between the two operators has made it possible to extend it for more than a year.

In total, thanks to the agreements with operators in Poland, Slovakia and Hungary, the GTS Operator of Ukraine in 2022 doubled the guaranteed capacity of gas imports to Ukraine from Europe - to more than 50 million cubic meters per day. This amount matches Ukraine's daily domestic gas output.

"The GTS Operator continues working hard to make all the agreement long-term and so that traders can receive an opportunity of long-term bookings on an annual basis," the company said.