Lithuania pushes ahead with gas interconnection project

Lithuanian systems operator Amber Grid has launched a project to enhance the interconnection of the Baltic gas market, titled the Enhancement of Lithuania-Latvia Interconnection (ELLI), expected to be finished by 2024.

The investment is expected to double the interconnection capacity to up to 130.5 GWh/d in the Latvian direction and up to 119.5 GWh/d in the Lithuanian direction. The project will create capacity to transport up to 47.6 TWh/yr of gas to Latvia and up to 43.6 TWh/yr to Lithuania, according to Amber Grid.

On the Lithuanian side, works will include the reconstruction of the Kiemenai gas metering station and the installation of modern equipment, and the reconstruction of the pipeline to the Panevezys compressor station. In Latvia, the main pipeline reconstruction works will be performed to increase the maximum operating pressure to 50 bars. This work will be carried out by Latvian systems operator Conexus Baltic Grid.

The undertaking is included in the EU's Projects of Common Interest and has received funding from the European Commission. Total investment by Lithuania and Latvia is expected to be €10.2mn. Lithuania's investment in the project will amount to about €4.7mn, €2.1mn of which will be covered by the European Commission under the Connecting Europe Facility, Amber Grid said.

Amber Grid today announced the signing of a €2.8mn contract awarded to MT Group for the reconstruction of the Kiemenai gas metering station, which is scheduled for completion in the second quarter of 2023.

ELLI "strengthens the security and reliability of gas supply in the region" and "provide[s] the market with more flexible access to Klaipėda LNG terminal, Latvian Inčukalns underground gas storage facility and the new [Gas Interconnection Poland-Lithuania pipeline]", Amber Grid chief executive Nemunas Biknius said. The new infrastructure will "allow the transmission of larger gas flows from the European continent to Lithuania, Latvia, Estonia and Finland, and vice versa".

This is one of several Baltic states initiatives to increase the interconnectedness of the market, and they include the Balticconector pipeline and Gas Interconnection Poland-Lithuania pipeline. Latvia and Estonia also signed an emergency gas supply agreement in January.

By Brendan A'Hearn