GLNG: LNG demand soars in Baltics as region continues pivot away from Russian gas

Baltic countries are securing liquified natural gas (LNG) in vast quantities seeking to take advantage of falling gas prices as the northern European nations accelerate the diversification of their energy supply after quitting Russian gas following the invasion of Ukraine.

With gas prices plummeting by over 80% since peaking in August, LNG cargoes have become increasingly attractive compared to alternatives such as fuel oil and coal.

Estonia’s Eesti Gaas AS has announced that in the coming weeks it will issue a tender to purchase seven LNG cargoes for delivery from April through September into Finland’s new floating LNG terminal, Inkoo. It marks the latest announcement for the company, which already purchased fuel for the first three months of the year to be delivered by Equinor ASA.

Meanwhile, Estonian energy group Elenger has also procured LNG from the US to the port of Klaipeda in Lithuania with another agreement in place for an additional cargo to be delivered in March. The company also plans to import LNG through Inkoo in the second and third quarters. Additionally, Lithuania has also stocked up on tenders capitalising on the slump in prices.