Ukraine’s largest private energy company DTEK has taken delivery of its first cargo of liquefied natural gas (LNG) from the US, a move that highlights the nation’s efforts to diversify energy sources amidst geopolitical tensions and dwindling Russian gas supplies to Europe.
The announcement came just days before the country cut off a major energy transit route that supplied gas to the European Union through Ukraine under a newly expired 2019 supply contract signed between Gazprom and Ukraine-based Naftogaz.
In June 2024 DTEK signed a deal with the US firm Venture Global for an unspecified amount of LNG from its Plaquemines Plant in Louisiana.
The 100 million cubic metre LNG shipment arrived on 27th December 2024 at the Revithoussa LNG terminal in Athens, Greece onboard the Gaslog Savannah LNG tanker.
“The arrival of this LNG cargo is a clear signal of DTEK’s determination to play its part in strengthening Ukraine and Europe’s energy security,” said Maxim Timchenko, CEO of DTEK.
“Cargoes like this are not only providing the region with a flexible and secure source of power, but are further eroding Russia’s influence over our energy system.”
Energy analysts have noted that LNG imports from non-Russian sources not only enhance energy security but also demonstrate the growing interconnectivity of global gas markets.
Purchased by DTEK’s pan-European trading firm D.TRADING, the cargo will be re-gasified and exchanged through EU and Ukrainian gas networks as Europe continues to wean itself off of Russian gas.
One of Moscow’s biggest defeats…
In a statement made by Russia’s Gazprom on 1st January, the company said it had stopped sending gas via Ukraine as of 8am Moscow time after an agreement signed in 2019 expired.
Posting on social media, Ukraine’s President Volodymyr Zelenskyy described the move as ‘one of Moscow’s biggest defeats’, adding, “When [Vladimir] Putin was given power in Russia more than 25 years ago, the annual gas pumping through Ukraine to Europe was 130+ billion cubic metres. Today, the transit of Russian gas is 0.”
Russian exports since the country’s invasion of Ukraine in 2022 have dropped from around 35% to just 8%, according to figures released by Brussels.
While countries like Ukraine and its European allies are making strides to sever ties with Russian gas, some nations remain tethered to Moscow’s energy supply due to logistical and political hurdles.
As global energy markets continue to evolve, the challenge for these nations will be to align with the broader shift towards secure and diversified energy sources.
Writing on social media, Robert Fico, Prime Minister of Slovakia, said, “Halting gas transit via Ukraine will have a drastic impact on us all in the EU but not on the Russian Federation.”
The impact has already been felt in the Moldovan region of Transnistria, where residents have lost heating and hot water as temperatures are projected to plummet to -7C this weekend.
Local energy firm Tirasteploenergo stressed that restarting the heating system is a complex technical process which could take up to 14 days.
As Europe continues its transition away from Russian energy dependency, the LNG market is poised for growth. According to the International Energy Agency (IEA), European LNG imports are expected to rise by 20% in 2025 compared to pre-war levels, with a significant portion sourced from the US and Qatar.
Ukraine’s first US LNG shipment marks a major step in this broader trend, highlighting the role of LNG in reshaping energy security across the continent.
However, with some nations still reliant on Moscow for gas and the infrastructure for LNG still expanding, experts predict a complex and uneven transition in the years to come.
