July 22, 2020, Kyiv – LLC “Gas TSO of Ukraine” minimizes the terms of repair of the section of the gas pipeline “Looping 4” from 7 to 3 weeks.
As has been previously reported, number of technical defects, which must be promptly dismantled, were detected on the section of the gas pipeline “Looping 4” near the Slovakia-Ukraine border (GMS Budince). This pipeline has a strategic importance for ensuring natural gas security of supply to Ukraine, therefore special attention and conducting repairs before the start of heating season is needed. After full diagnostics of the mentioned section of the pipeline was finalized, the detailed plan of technical measures to be undertaken, was developed. Moreover, GTSOU plans to use additional resources to optimize repair works and to minimize the time of their execution. We found an opportunity to follow the requests of market participants and carry out repair works from 1st till and including 21st September 2020. In such a way, network users will be able to use the already purchased capacities in August 2020 without any interruptions.
The Director General of LLC Gas TSO of Ukraine Sergiy Makogon mentioned the following: “I set an most important task for our team to find an opportunity to reduce the period of repair works as much as possible. And I am grateful to Ukrainian engineers, who despite significant inconveniences, showed flexibility and helped to meet the market needs. At the same time, we certainly prioritize the safety of further operation of the pipeline”.
Unfortunately, we have not received a positive response from our partners from the Slovak Gas TSO “Eustream” regarding previously submitted proposals to ensure continuity of services for network users in a commercial way either by uniting two physical IPs, Budince and Uzhgorod/Velke Kapusany, into one virtual IP or by providing network users with the right to transfer already booked capacities from IP Budince to IP Uzhgorod / Velke Kapusany free of charge only for the period of repair works.
Moreover, creation of a virtual IP would not only solve the problem of network users regarding the current situation, but also would have a significant positive effect on the strategic development of the regional market. We hope that our Slovak partners will make sure that such an approach creates lots of benefits and that they will support the idea of a single VIP in the near future.
We would like to remind you that GTSOU obtained the consent from Ukrainian national regulator to make free of charge transfer of booked capacities from IP Budince to IP Uzhgorod / Velke Kapusany for the period of maintenance
Additionally, LLC Gas TSO of Ukraine emphasizes that there is no risk associated with injection to Underground Storage facilities of Ukraine, as it is possible to import natural gas in the form of a virtual reverse flow in the amount up to 110 million cubic meters per day through IP Uzhgorod/Velke Kapusany (the graph below shows the volumes of daily transmission of natural gas from Ukraine to Slovakia through IP Uzhgorod/Velke Kapusany from May 1 to July 20, 2020). It should be noted that Eustream currently offers only 60 million cubic meters per day for the period of July-September 2020, which is significantly lesser than what can be offered to the market.