Ukraine Asks Europe to Help Protect Gas Storage Sites From Russian Strikes

The head of Ukraine’s state energy company has appealed to the European Union to help protect gas storage sites from Russian strikes.

“It is of interest of the EU to protect storage, transportation and production [facilities]”, Oleksiy Chernyshov, chief executive of Naftogaz, told the Financial Times.

Europe has been storing natural gas in the Ukraine after its own capacity filled up amid depressed demand. Russia, for its part, has been focusing its attacks on energy infrastructure, including gas storage sites.

“Ukraine is playing a key role for central and eastern Europe’s security of gas supply this winter,” Natasha Fielding, Argus Media’s head of European gas pricing, told the FT In January. 

European demand has been subdued in recent months due to slowing economic activity, but Europe still needs a lot of natural gas for space heating and power generation, hence the demand for Ukrainian storage space.

“Technologically, we’re all fit, and we have managed to repair the [damaged surface] equipment and we fulfill our obligations [to our customers],” Naftogaz’ Chernyshov told the Financial Times. Apparently, this is not enough to make sure the storage sites remain functional, so Chernyshov made the case for more air defense systems.

The protection of energy assets requires “a very high number” of air defense systems, he said, adding that “We might remain in a position where we would still need more air defense” and that “EU countries, of course, should play a crucial role in that assistance.”

Besides gas storage, Ukraine is still a major conduit for Russia's pipeline gas to Europe, which Chernyshov also noted.

“The reason why Naftogaz has continued with this transit deal [even amid the war with Russia] is to satisfy the EU’s gas needs and to remain as a reliable partner [to the bloc],” he said.

The call from Naftogaz’s chief executive comes after the U.S. Congress approved another $61 billion in military aid for the Ukrainian government last week.

By Irina Slav for Oilprice.com

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