The Naftogaz Group signed its first agreement with SOCAR Energy Ukraine part of the SOCAR Group of companies for the purchase of Azerbaijani natural gas.
The agreement marks the first signed transportation through the Trans-Balkan gas transportation route, that passes through Bulgaria, Romania, and Moldova, that represents an additional route for Ukraine to purchase gas for the upcoming winter season.
In 2025, Russia repeatedly attacked Ukraine’s gas production, posing a serious threat to Ukrainian gas supplies for the coming winter. In response Naftogaz instituted a range of measures to secure sufficient gas to service the heating season.
Naftogaz will first conduct a test shipment through the Transbalkan route along the Bulgaria–Romania–Ukraine corridor, according to the state-owned energy giant’s press release.
“This is a small volume but strategically important step that paves the way for long-term cooperation. It is also another example of diversifying supply sources and strengthening Ukraine’s energy security,” the press release quoted Naftogaz CEO Sergii Koretskyi.
“Grateful to our colleagues from Azerbaijan for their trust,” the company added.
US LNG, EBRD Funds, and Balkan Gas Corridor Support Ukraine’s Heating Season
Apart from opening the alternative gas route, Naftogaz previously announced almost Hr.10 billion ($234 million) in loans from Ukraine’s state-owned banks PrivatBank and Ukrgasbank, ramping up supplies ahead of the heating season.
Alongside EBRD loans, establishing a new gas supply route from abroad and US LNG supplies will allow gas injection to Ukraine’s underground storage facilities to be stepped up.
Naftogaz also secured 140 million cubic meters (4.9 billion cubic feet) of liquefied natural gas (LNG) from the US to be transported by the Polish company ORLEN, Kyiv Post previously wrote citing another Naftogaz press release.
That deal marks the fourth gas supply contract signed between Naftogaz and this year which brings the total shipped to 440 million cubic meters (15.5 billion cubic feet) of LNG ahead of 2025’s heating season.
Apart from LNG, the state-owned company is speeding up gas injection into Ukraine’s underground storage facilities. By the start of the next heating season – November 1 – Ukraine needs to accumulate at least 13 billion cubic meters (459 billion cubic feet) of gas in storage with just over 9 billion cubic meters (317 billion cubic feet) stored at July 17, according to ExPro data.
Another loan for the heating season is from the European Bank for Reconstruction and Development (EBRD) – the bank lent Ukraine’s state-owned gas giant €270 million ($307 million) to finance emergency gas purchases over the next two heating seasons.
The amount of gas Naftogaz will purchase is currently unknown, EBRD Vice President Matteo Patrone previously told Kyiv Post.
“We don’t know [how much gas Naftogaz will import] – it depends on the price of gas,” Patrone said.
This collaboration will, however, help to ensure Ukraine has sufficient gas reserves and can meet its energy needs during peak demand, Patrone said.
Part of the loan consists of a grant from the Norwegian government of €138.6 million ($149.6 million) funded by the EBRD Crisis Response Special Fund.
Naftogaz borrowed another $41.6 million from EBRD to invest in modern mobile drilling rigs, boosting domestic production. Ukrgasvydobuvannya, a subsidiary of Naftogaz Group, bought new mobile drilling rigs with lifting capacities of 125 and 180 tons. This will improve the company’s ability to carry out complex well workovers, especially at greater depths.