The LNG terminal on the Croatian island of Krk. (source: Courtesy of SPP)
As Europe looks to wean itself off Russian natural gas supplies following the country’s invasion of Ukraine, liquefied natural gas (LNG) has come sharply into focus as an alternative for states on the continent looking to secure their energy needs.
Slovakia, which is highly dependent on Russian gas, is no exception, and it has already begun to meet some of its consumption needs with LNG from US suppliers.
Experts see the current situation on the energy market as an opportunity for new businesses.
“Traders of US gas can start offering gas directly in our region, including Slovakia, using existing or planned [transmission] infrastructure,” energy analyst Karel Hirman told The Slovak Spectator.
“And [underground] gas reservoirs in Slovakia could become an interesting base for them to develop such business, as other traders have done, and as Russia’s Gazprom did until recently.”
That LNG has become a significant alternative gas source is underlined by the fact that in June, LNG accounted for 31 percent of all gas supplies to Europe, Richard Kvasňovský, executive director of the Slovak Gas and Oil Association (SPNZ), pointed out.
US LNG accounted for 13 percent of all gas consumed in Europe during that month, while Norwegian gas made up 27 percent of total consumption. Russian gas accounted for 15 percent, of which LNG was one third while the other two thirds were supplied via pipelines.
“This shows a significant reduction in Russian gas supplies which were around 40 percent on average last year,” said Kvasňovský.
He regards the US as the best perspective supplier for Slovakia, with Qatar, North African states, and Norway also offering potential. He said Nigeria, Mauritania and Mozambique were also among those states most active in trying to use the opportunities on the current market.
