Ukraine received the first batch of LNG from the US via Greece

Ukraine has received its first shipment of liquefied natural gas (LNG) from the United States, in a move that marks its joining wider European efforts to wean itself off Russian fossil fuels.

As reported by Financial Times, the shipment was picked up by DTEK, the country’s largest private energy group, via the Mediterranean Sea, with the cargo arriving at an LNG terminal in Greece on Friday.

DTEK chief executive officer Maxim Timchenko said: “Shipments like this not only provide our country with a flexible and secure source of energy, but at the same time further erode Russia’s influence in our energy system.”

Europe imports about 40 percent of its LNG from the United States, but this shipment is the first to be purchased directly from Ukraine. The shipment arrives at a critical time, just days before the expiration of a five-year agreement that allows Russian gas to pass through the Ukrainian network and as Donald Trump’s presidency approaches.

Despite European efforts to reduce dependence on Russia through increased LNG imports, the pipeline through Ukraine continues to meet about 5% of the European Union’s gas needs. Trump, who has expressed reservations about continuing military support for Ukraine, has also threatened European countries with tariffs if they do not increase purchases of U.S. oil and gas.

DTEK bought about 100 million cubic meters of natural gas. As reported by the Financial Times, according to data from Greece’s National Gas System Operator, DTEK will keep about 10% of the cargo, while the rest will be sold to Greek companies.

“It is significant that one of Ukraine’s largest energy companies is receiving U.S. LNG at a time of potential major changes in the gas market,” said independent gas analyst Tom Marzek-Manser. He added that if Russia stops supplying gas to central European buyers through Ukraine from January 1, these additional volumes will be vital to the security of the entire region.

The arrival of the LNG shipment coincides with the ongoing escalation of Russian attacks on the Ukrainian energy grid. The most recent attack, on Christmas Day, left more than half a million citizens without heat, water and electricity.

The deal to ship LNG was signed by DTEK and US company Venture Global in June. Under the terms of the agreement, LNG purchases by DTEK will continue until the end of 2026. At the same time, there is a separate 20-year agreement for continued LNG supply.

Venture Global, one of the largest LNG developers in the United States, recently filed for an initial public offering, seeking to raise $3 billion to $4 billion, which would represent one of the largest energy capital raises in U.S. history.

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