Orlen and Naftogaz sign agreement to deepen energy ties

Ukraine’s state-owned energy company Naftogaz Group and Poland’s Orlen have signed a memorandum of understanding (MoU) to strengthen joint energy-related strategic initiatives.

Under the MoU, the two players have undertaken to deepen collaboration in several areas, including upstream production and field development, the restoration of energy infrastructure damaged by war, and the implementation of potential joint energy projects.

The supply of natural gas and petroleum products and cross-border and broader commercial cooperation were also among the topics of discussion.

As reported by Naftogaz, the deal was inked in Ukraine on May 29 by Naftogaz Chief Executive Officer (CEO) Sergii Koretskyi and Orlen’s CEO and President of the Management Board Ireneusz Fąfara.

“I believe we can elevate our cooperation to a fundamentally new level,” noted Koretskyi. “I am grateful to our Polish partners and personally to Mr. Fąfara for our constructive dialogue and for their sincere support for Ukraine.”

This builds on the companies’ cooperation in the liquefied natural gas (LNG) arena. Under the long-term collaboration framework, the duo signed in March, Orlen is set to deliver 300 million cubic meters (cbm) of U.S.-sourced LNG to Ukraine.

Earlier this month, the Polish player was listed as one of the 44 oil and gas players required to provide new CO2 storage solutions to meet the EU’s target of reaching a CO2 injection capacity of at least 50 million tonnes per year by 2030.