Naftogaz Group and Kino Aski LNG have signed a Memorandum of Understanding on potential cooperation in the supply of low-carbon liquefied natural gas (LNG) from Canada to the European market.

The memorandum establishes a framework for exploring the possibility of future long-term supplies of Canadian LNG to Naftogaz from the planned Kino Aski LNG terminal.

"We are expanding our network of international partners to create more opportunities to purchase gas on competitive terms. Cooperation with Kino Aski LNG will allow us to assess the possibility of adding Canadian LNG to our supply portfolio. For Naftogaz, it is important to have a choice of sources and routes so that we can respond flexibly to Ukraine’s needs,” said Naftogaz’s Acting CEO Sergii Fedorenko.

Potential volumes of Canadian LNG could be aligned with Naftogaz’s long-term capacity at the LNG terminal in Klaipėda, Lithuania, for 2033–2044. Additional regasification capacity at other European terminals could also be used.

As part of this cooperation, the parties will explore potential demand for Canadian LNG in the European market and opportunities for supply. This work will form part of an assessment of the prospects for the Kino Aski LNG project and its contribution to Europe’s energy security.

About Naftogaz

Naftogaz is the national oil and gas company of Ukraine, which was established in 1998. Headquartered in Kyiv, the company covers a full range of activities in the oil and gas business including: production and refinery; transportation and storage; wholesale trade and distribution as well as technical support.

About Kino Aski LNG

Kino Aski LNG is a Canadian LNG terminal project with a stated potential capacity of up to 15 million tonnes per year. It is a First Nations-led project intended to create economic opportunities for Indigenous communities in Quebec and Ontario.