Page 18 - EurOil Week 33 2022

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Czechia seizes part of fastest growing independent energy supplying achieve the set 10-project goal within this
company in Czechia.
budget, mainly due to rising input prices
Gazprom’s gas storage and inflation, Gorban added.
“To achieve the set goal, the additional
capacity 100% capacity utilisation financial need is estimated at €5mn. If we
were to remain within the existing budget,
The Czech government has seized unused attained by Turkish refiner the alternative would be to lower the target
gas storage capacity in a facility part-owned level from 10 projects to eight projects,
by Gazprom, the Russian gas giant, in order Tupras in 2Q22 because the Ministry of Rural Affairs does
to boost the country’s gas reserves before the not have the sources of funding to increase
coming winter. Number one Turkish oil refiner, Istanbul- the budget of the support measure,” the
Under an amendment made to the listed Tupras, recorded a capacity utilisation deputy secretary general said.
country’s Energy Act, signed into law in June, rate of 100% in 2Q22, while production and The recovery plan will be finally
the state can seize unused gas capacities in gas sales were 7.1mn tonnes and 7.3mn tonnes, approved by the Council of the European
storage facilities across the country. respectively, the company said in its latest Union, likely not until spring 2023.
EU member states have agreed to raise financial results reporting on August 15.
the usage of their gas storage facilities to 80% Tupras added that it posted Turkish
before the start of November. Czechia has lira (TRY) 136bn ($7.6bn) in total second- Russian oil imports to Czechia
currently filled 81% of its storage capacity but quarter revenues.
only 35.9% of the capacity in the Damborice “Continuing its investments in resumed
gas storage facility part owned by Gazprom is modernization, energy efficiency and
currently full. transition, the company has made a total Czech state-owned pipeline operator Mero
Damborice is operated by Moravian Gas investment of TL 643 Million in the second confirmed to the Czech Press Agency that
Storage (MGS), a joint venture (JV) owned quarter, 37% of which is sustainability oil imports from the pipeline Druzhba
by Gazprom and MND (Moravske naftove investments,” the refiner also stated in [Friendship] to Czechia were renewed on
doly), which is part of the KKCG holding an announcement of the second-quarter Friday at 20:00 hrs.
of companies of Czech billionaire Karel results. “Supplies are running smoothly and
Komarek. Almost the entire capacity in the Tupras also noted that during the according to the plans”, Mero stated.
facility was leased to Gazprom. quarter it took its “first important step” Independently, renewed oil imports were
The facility is one of the most modern to produce sustainable aviation fuel. The also confirmed by Czech refinery company
underground gas storage facilities in Europe company signed a licensing agreement Unipetrol of the Polish group PKN Orlen,
and its construction was commenced in 2013 with Honeywell to use UOP Ecofining which said Russian oil was being pumped into
following the establishment of the Moravian technology in sustainable aviation fuel its refineries.
Gas Storage JV. Its overall capacity is 448mn production. “The situation had no effect on our
cubic meters, and according to Czech TV everyday activities”, added Unipetrol in
the government has seized half its capacity, or reference to the eight-day-long termination of
242mn cubic meters. Estonia eyeing €50mn from oil imports.
The new legislation stipulates that unused Ukraine’s gas transport company
gas capacities need to be auctioned or the EU’s RRF for biogas production Uktransnafta also confirmed receiving
operators risk losing it. The Ministry of transit fees payment unblocking the flow
Finance said that no buyer took part in a support of oil into Czechia, and Czech Minister of
recent auction organised by Moravian Gas Industry and Trade Josek Sikela tweeted on
Storage, according to Czech TV. The Estonian Ministry of Rural Affairs Friday afternoon that “we found a solution to
Gazprom has warned European consumers has proposed to the Ministry of Finance unblock transit payments for oil imports, and
that they face further gas price pain this to consider directing €50mn from the its transit via Druzhba is about to be renewed”.
winter as its own supplies to the continent European Union’s Recovery and Resilience Earlier that day Reuters reported that
remain heavily constrained and soaring Facility (RRF) under the Estonian recovery Dutch bank ING had agreed to process the
summer temperatures continue to drive up plan to create a support measure for payment.
energy demand. increasing biogas and methane production EU banks have been blocking payments
Following the Russian invasion of Ukraine, capacity, BNS, a Baltic newswire, reported to the Russian state oil transport company
KKCG has been in talks over the transfer of its on August 15. Transneft in their effort to comply with the
shares in Moravian Gas Storage to the Czech At the same time, the ministry is EU sanctions imposed on Russia following the
state in attempt to improve its image. planning to implement an investment invasion of Ukraine.
Besides energy, KKCG is active in the support for bioresource valorisation in EU is set to completely terminate
lottery business, which includes the takeover 2022-2026 as part of the recovery plan, with imports of Russian oil by December.
of once bankrupted Czech lottery behemoth which it will also be possible to support However, Czechia, Hungary and Slovakia
Sazka or the recent successful bid in the UK biomethane plants, but this is only one have negotiated an exemption, citing their
National Lottery tender. Komarek’s close links of the activities of the aforementioned dependence on Russian imports.
with Russia have become an embarassment measure, Marko Gorban, deputy secretary Earlier last week Hungarian MOL Group,
to the gambling tycoon, and were raised by general of the Ministry of Rural Affairs for which operates refineries in Hungary
Camelot, the losing bidder in the UK National agricultural and rural development policy, and Slovakia, made transit payments to
Lottery tender, in its failed attempt to keep the said in the letter sent to the Ministry of Uktransnafta on behalf of Transneft to
license. Komarek has written an open letter Finance. maintain the oil imports into the two
criticising Russia’s invasion. The budget of the proposed support was countries.
According to KKCG’s website, MND is the planned to be €23.8mn, but it is unlikely to

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