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Gazprom Is Considering Storing Natural Gas In Hungary

Tamás Székely 2016.12.13.

As Gazprom examines the business opportunities in Hungary, first of all the company would deal with storage owners like MVM group and other actors. Alexander Medvedev – Gazprom’s deputy director – has announced his company’s new plans in an interview which was given to Világgazdaság.

The article highlights the possibilities of new pipelines as part of the North and Turkish Streams. Medvedev reminded readers of the 2014-2015 period when the country needed more gas than the average consumption and during this time Gazprom had already used up the Hungarian storage capacities. Gazprom shall continue to deliver more units of gas than the contract grants. He also stated that the company works hard with European counterparts to find the best financial solution for the North Stream II, which would be executed under the original plan. He supposed the pipeline is a great solution for Europe because it is 3000 kilometers shorter than the Ukrainian one, and minimizes the risks of interrupted transit. Gazprom is also considering the opportunities in the electrical and the liquefied gas business sectors. Independent experts say the liquid gas consumption is going to reach 50 billion cubic meters by 2025. Gazprom also calculated the same increase if the gasoline and diesel prices remain at the same level.

Last week Gazprom Chariman Viktor Zubkov paid a visit to Budapest for talks with Hungarian PM Viktor Orbán in the Parliament building. The meeting took place as part of a celebration, which Budapest hosted to mark the twentieth anniversary of the Russian-Hungarian long-term gas contract. According to the Primer Minsiter’s press chief, several issues were discussed during the meeting, including “Hungary’s security of supply and the maintenance of affordable natural gas, for which long-term contracts are of special importance.”

via vg.hu and index.hu; cover photo: Alexander Zemlianichenko Jr. – bloomberg.com