Goodbye Russian Natural Gas! Lithuania signs US deal!!!

[xenon54 out]

and I suggest that you go talk to my hand

Its exactly as you said a couple months ago, you are not one of them if you dont agree.

 

[black-hawk_101]

Lithuania signs US deal to replace Russian gas

Lithuania said Saturday it had signed a trade agreement to buy liquified natural gas from the United States in a move aimed at reducing the EU Baltic state's heavy dependence on Russian gas deliveries.

Under the deal with Houston-based Chenier Energy company, the first LNG fuel is expected to arrive in Lithuania as early as next year, state-owned company Litgas said in a statement.

"This agreement entered into with Cheniere ... will provide us access to the prolific US natural gas market," Litgas General Manager Dominykas Tuckus said.

Lithuania's first floating LNG terminal started commercial activity in January, becoming the first such facility to sever Moscow's grip on gas deliveries to the Baltic states.

The nation of three million will initially import 0.54 billion cubic metres of gas from Statoil in 2015, covering about one-fifth of its demand.

The first US LNG export terminal is expected to starts its operations later this year.

The Baltic states' reliance on Russia for gas is a legacy of its five decades of Soviet rule, which ended in 1991.

Members of the EU and NATO since 2014, Lithuania and fellow Baltic states Latvia and Estonia are concerned about Russia's actions in Ukraine and fear that Moscow could attempt to destabilize its Soviet-era Baltic backyard.

"LNG exports by the US may weaken the position of Russia which uses its energy resources as an energy weapon to blackmail countries dependent on Russian gas," Lithuania's Energy Minister Rokas Masiulis said this week.

Lithuania signs deal for U.S. LNG| Reuters

Lithuania signs US deal to replace Russian gas

@mike2000 @Steve781 @flamer84 @Gabriel92 - looks like Big Daddy 'Merica is ready to step in and replace Russia!!!

Russians are looking to sell gas to China.

 

[jhungary]

Its exactly as you said a couple months ago, you are not one of them if you dont agree.

lol that was a given lol

 

[mike2000]

Indeed the fact that Moscow is still relying on natural resources to boost economic growth is worrisome
They need to diversify their economy ASAP.Besides India & China are always there to help Russia in sectors where we have expertise

Exatcly bro. However, i dont see them changing this situation anytime soon. In fact Putin and russian government dont seem to care.lool All they care about is boosting Russia's defence spending just to show off that they are still a world power/significant and to scare the west .loool Case in point, Russia's economy has been in recession, despite this the Kremlin has instead resorted to reducing its budget for other civilian sectors of its economy while instead increasing its military spending(which at over 4% of GDP is among the highest in the world over twice that of China and India). So as we can see, they have got their priorities wrong. They are instead going on the route of trying to show they are 'tough', while neglecting other more crucial/productive sectors of their economy which should have been their priority giving their over relinace on oil and gas.

Finance minister warns Russia can't afford military spending plan| Reuters

Under Putin, Russia poses a growing threat to peace | The Japan Times

http://www.ft.com/cms/s/0/544e25d0-9fe6-11e4-9a74-00144feab7de.html

Finance minister warns Russia can't afford military spending plan| Reuters

 

[Echo_419]

Exatcly bro. However, i dont see them changing this situation anytime soon. In fact Putin and russian government dont seem to care.lool All they care about is boosting Russia's defence spending just to show off that they are still a world power/significant and to scare the west .loool Case in point, Russia's economy has been in recession, despite this the Kremlin has instead resorted to reducing its budget for other civilian sectors of its economy while instead increasing its military spending(which at over 4% of GDP is among the highest in the world over twice that of China and India). So as we can see, they have got their priorities wrong. They are instead going on the route of trying to show they are 'tough', while neglecting other more crucial/productive sectors of their economy which should have been their priority giving their over relinace on oil and gas.

Finance minister warns Russia can't afford military spending plan| Reuters

Under Putin, Russia poses a growing threat to peace | The Japan Times

http://www.ft.com/cms/s/0/544e25d0-9fe6-11e4-9a74-00144feab7de.html

Finance minister warns Russia can't afford military spending plan| Reuters

Indeed the need of the put is Boosting & Diversifying the Russian economy & they need to stop wasting their resources on building more Bases in Arctic
Russians can defend their territorial integrity with one of the most capable nuclear Arsenals in the world

 

[mike2000]

Indeed the need of the put is Boosting & Diversifying the Russian economy & they need to stop wasting their resources on building more Bases in Arctic
Russians can defend their territorial integrity with one of the most capable nuclear Arsenals in the world

I think it has more to do with Putin. He thinks he is still living in cold war era when Russia was a super power. He doesnt seem to come to terms with the fact that the U.S.S.R collapse and they will probably never be a superpower again like they were in the past. Since the world has changed alot, and there are other more viable/dynamic Asian/developing countries/powers who are only set to get stronger while Russia gets weaker. Putin by going all out against the West/.U.S head on is only precipitating Russia's decline/demise. Wait and see the situuation in which they will find themselves if he continues on this path. You should know your strength and that of your adversary. Never overestimate yours and know when/how to make compromises. Since no matter what others might say, the west/U.S is still by far the worlds dominant powers and rule makers in today's world. So its not viable to go against them head on/overtly while you are not even remotely as strong/influential/powerful as them in ALL FIELDS.

Russia’s GDP Estimated To Contract By 5.5% In 2015, Impacting Armenia's Economy: Moody’s

 

[Echo_419]

I think it has more to do with Putin. He thinks he is still living in cold war era when Russia was a super power. He doesnt seem to come to terms with the fact that the U.S.S.R collapse and they will probably never be a superpower again like they were in the past. Since the world has changed alot, and there are other more viable/dynamic Asian/developing countries/powers who are only set to get stronger while Russia gets weaker. Putin by going all out against the West/.U.S head on is only precipitating Russia's decline/demise. Wait and see the situuation in which they will find themselves if he continues on this path. You should know your strength and that of your adversary. Never overestimate yours and know when/how to make compromises. Since no matter what others might say, the west/U.S is still by far the worlds dominant powers and rule makers in today's world. So its not viable to go against them head on/overtly while you are not even remotely as strong/influential/powerful as them in ALL FIELDS.

Russia’s GDP Estimated To Contract By 5.5% In 2015, Impacting Armenia's Economy: Moody’s

Russia needs to get its act together now
& I also think that putin is responsible he had such a great opportunity to make Russian economy stronger & he squandered it away

 

[Hindustani78]

First, you need to build a lot of LNG ships in order to deliver the gas, but who is going to build the LNG ships for you?

Floating LNG terminal "Independence" sails into Klaipėda - EN.DELFI

 

[Hindustani78]

Lithuania to negotiate on gas supplies with Russia only on commercial basis, energy minister says - EN.DELFI

Friday, March 13, 2015

Lithuania now has more possibilities to import natural gas than it had before and in the future it will hold gas supply negotiations with Russia only on a commercial basis, Energy Minister Rokas Masiulis said after meeting with Russia's ambassador to Lithuania in Vilnius on Thursday.

Moreover, Lithuania will continue to ensure reliable gas transit to Russia's Baltic Sea exclave of Kaliningrad, Masiulis said.

"I told (the ambassador) that Lithuania now has more possibilities to import gas than it had before. The (Klaipėda) LNG terminal can supply the needs not only of Lithuania, but also those of Latvia and Estonia. I also stressed that all negotiations with Gazprom or any other suppliers will be held only on a commercial basis," the minister told BNS after the meeting with Aleksandr Udaltsov.


"The issue of gas transit was also discussed. A transit agreement is to be signed this year. We say that the gas system is in a good technical condition, it is well-maintained and it ensures reliable deliveries to Kaliningrad," he said.

The minister reiterated that negotiations are already underway between Lithuania's natural gas transmission grid operator Amber Grid and Gazprom on transit gas shipments to the Russian exclave, but no details are being disclosed about these talks.

He said that talks on gas supplies for 2016 will also be held at the company level and that he, as the head of the government's negotiating team with Gazprom, is currently planning no meetings with other Russian officials or Gazprom's representatives.

Masiulis said that he voiced concern during the meeting over nuclear power plant projects in Kaliningrad and Astravyets, Belarus, and their compliance with the Espoo Convention.

The Astravyets nuclear power plant, which is being built close to Belarus' border with Lithuania, breaches the UN Convention on Environmental Impact Assessment in a Transboundary Context (Espoo), parties to the Convention confirmed last June.

The minister said that it was his first get-to-know meeting with the ambassador.

 

[Hindustani78]

LNG distribution station to be built in Klaipėda - EN.DELFI

Saturday, March 14, 2015

• 
  © DELFI (Š.Mažeikos nuotr.)
  Klaipėda is getting ready for the construction of the Liquefied Natural Gas (LNG) distribution station. Energy company Klaipėdos Nafta as that together with the French company Sofregaz it is entering the stage of project preparation and environmental assessment.
  
  Mantas Bartuška, Director General of Klaipėdos Nafta, says that when project solutions are ready, then construction may begin - this is scheduled for late 2015. Negotiations are ongoing with potential users of the distribution station. In the nearest future preliminary agreements will be signed with the users of the LNG distribution station.
  
  The LNG distribution station will be constructed in Klaipėda Seaport, by the second quay of Klaipėdos Nafta territory. Several gas storage tanks are planned to be erected, however the exact number will be known in the second stage of the project. Three filling stations for gas tanker trucks should be installed as well. This will allow to fill three tanker trucks and to bunker one vessel at a time.
  
  
  Preparatory work will cost approximately EUR 300,000 with half of the amount coming from the European Union support funds.
  
  
  

 

[Hindustani78]

Russia trying to tune public opinion against energy independence in Lithuania – Report - EN.DELFI

BNS EN
Monday, March 30, 2015

• Russia is using Lithuania’s public space to form an opinion against energy independence of Lithuania and the entire European Union (EU), the State Security Department (VSD) said in its 2014 report about threats to national security.
  
  
  
  Lithuanians are greeting 'Independence' LNG floating facility entering Klaipėda port
  Foto: DELFI (Š.Mažeikos nuotr.)
  “Russia will continue with efforts to undermine Lithuania’s (Baltic countries’, EU’s) energy independence: it will use the political situation in individual countries and business entities loyal to Russia and will try to form a public opinion that the choice of energy independence is unnecessary for the country’s nationals, that it’s disadvantageous and unwise,” the report said.
  
  The department also expects Russia to continue strengthening the energy system of its Baltic enclave of Kaliningrad and Belarus. At the same time, it will criticize Lithuania for worsening the region’s situation.
  
  “In VSD’s view, despite economic downturn, Russia will still continue with gradual strengthening of energy system of the region of Kaliningrad and will invest continuously in the construction of various facilities in Belarus. At the same time, it will claim (through media, various international institutions) that Lithuania is allegedly undermining energy security of Kaliningrad region,” the document reads.
  
  

Russia has launched the projects of an LNG import terminal and an underground gas storage facility in a bid to minimize the dependence of Kaliningrad on the transit of Russian gas through Lithuania. In line with Gazprom’s plans, the LNG terminal should be built by 2018. The project of a nuclear power plant in the region of Kaliningrad has been put on hold, yet VSD believes it could be resumed quickly enough.
According to the department, Russia was proactive in criticizing Lithuania’s goal to build an LNG facility and interfered with efforts to create a diversified natural gas market.

Another report published on Monday said that Russia considered Europe’s goals related to energy independence as a threat to its military security.

"Russia is particularly sensitive to infrastructure, financial and legal developments in the energy system of the Baltic Sea region (in particular Lithuania’s) due to persistent dependence of Kaliningrad region on the transit of energy resources via a NATO country,” the report from the Second Investigation Department under the Ministry of National Defence said.

 

[opruh]

Good riddance who wants an insignificant customer like Lithuania, good thing Russia has China as a replacement.

 

[Hindustani78]

Good riddance who wants an insignificant customer like Lithuania, good thing Russia has China as a replacement.

I think Baltic countries are trying to be energy sufficient and not be dependable just on Russian gas.

 

[Galad]

Usual suspects cant get it -the agreement is politically based.Norway gas is much more expensive than Gazprom one.USA gas(very much doubt will be ever delivered) will be much more expensive than Norway gas.Even if all 3 of Baltic countries ever agreed to use same terminal(there is already infighting who will profit most at whose expense) -terminal still be at loss.It needs to operate at much bigger capacity -and experts did warn about it in advance.And no Baltics will not be allowed to export the gas neither to West Europe nor to Scandinavia.Operational cost is 700 million plus per year for the terminal.Price of gas already is up and even with it will not be enough to cover the cost.Guess who will have to pay for all the cost?Hint-will not be the politicians who started the whole adventure.

 

[Hindustani78]

Usual suspects cant get it -the agreement is politically based.Norway gas is much more expensive than Gazprom one.USA gas(very much doubt will be ever delivered) will be much more expensive than Norway gas.Even if all 3 of Baltic countries ever agreed to use same terminal(there is already infighting who will profit most at whose expense) -terminal still be at loss.It needs to operate at much bigger capacity -and experts did warn about it in advance.And no Baltics will not be allowed to export the gas neither to West Europe nor to Scandinavia.Operational cost is 700 million plus per year for the terminal.Price of gas already is up and even with it will not be enough to cover the cost.Guess who will have to pay for all the cost?Hint-will not be the politicians who started the whole adventure.

According to reports, that LNG terminal was reduced Lithuanian dependence opn Russian gas to 55% by 2016.

Lithuania is paying the highest price for Russian gas than any other country in Europe, according to Foreign Policy. LNG shipped from overseas is normally more expensive than Russian gas, which is why much of Europe continues to purchase from Russia. But with the smaller price difference, Lithuania can focus on purchasing LNG and distancing itself from its neighbor.

Lithuania and other Baltic countries are having option to get Gas from other countries including Gulf Countries. Energy agreement with United States means closer relations with GCC countries and even there were reports of gas reserves in Lithuanian according to 2012 reports.

Minister of Energy Arvydas Sekmokas states that shale gas could serve as an alternative energy source and it is part of the Lithuanian energy strategy. According to him, shale gas found in Lithuania is worth 35 billion EUR in 2011.

Even recently Lithuanian PM visited Oman.
Lithuania’s PM to arrive on first official visit to Oman today - Oman - Muscat Daily


Gazprom withdraws claim against Lithuania - EN.DELFI
“Lithuania has always said that Gazprom’s claims and discontent are unfounded and Gazprom’s investment has not been affected. Lithuania has reformed its gas sector in pursuit of a strategic goal to create a diversified and efficient common gas market, where consumers have a choice and monopolies cannot abuse their dominant position,” the ministry said in a press release.