Ukraine’s Naftogaz signs MoU with Kino Aski LNG to explore importing Canadian LNG

Ukraine’s state-run Naftogaz has agreed to a Memorandum of Understanding (MoU) with Kino Aski LNG to examine potential cooperation on imports of Canadian LNG to Europe, Naftogaz revealed on September 11.

The MoU puts a framework in place for the two organization to begin examining the possibility of supply being shipped from the proposed Kino Aski LNG terminal at the Port of Baie-Comeau in Canada’s eastern province of Quebec.

Kino Aski LNG is First Nations owned, being developed by the Atikamekw Nation and is currently in the technical study phase. The project, which is also being jointly developed by Marinvest Energy Canada, would see the development of an energy corridor to transport natural gas from western Canada to Baie Comeau.

With the proposed project not confirmed yet, no final pipeline route has been selected, and the regulatory process has not been begun.

Environmental assessments, technical studies, and consultations with affected First Nations are the next steps as Kino Aski LNG continues to examine the project’s viability.

“This agreement demonstrates the potential interest in Canadian LNG among European partners seeking reliable and diversified sources of energy. For First Nations, it would also represent an opportunity to play a leading role in developing new economic and energy relationships between Canada and Europe,” said Constant Awashish, Director of Kino Aski and Grand Chief of the Atikamekw Nation. 

The proposed plans for the Kino Aski LNG terminal envision the development of a facility with a production capacity of 15mn tonnes per year (tpy) of LNG. The facility would also be powered by renewable energy, ensuring the super-chilled fuel would be certified for low methane emissions, and consequently meet the European Union’s methane requirements.

The announcement comes as Canada and Europe seek to strengthen ties. Europe has vowed to explore opportunities to import LNG from Canada amid US President Donald Trump’s threats of tariffs and annexing Greenland. Canada is currently exploring associate member status with the European Union as trade tensions with the US have reemerged.