THE ROHU PROJECT AND THE CEE GAS MARKET OPPORTUNITIES. Bucharest. 14 June2018

Transcription

1 THE ROHU PROJECT AND THE CEE GAS MARKET OPPORTUNITIES Bucharest 14 June2018 1

2 TRANSGAZ AND FGSZ DEVELOPS THE BRUA CORRIDOR TO SHIP BLACK SEA PRODUCTION TO CEE MARKETS BRUA Corridor and associated developments 2

3 HUNGARIAN-ROMANIAN INTERCONNECTOR IS READY, PHASE I OF THE ROHU PROJECT ENABLES THE TRANSMISSION OF 1.75 BCMA FROM 2019 ROHU project Phase I development is in progress PIPELINE IS READY The Szeged-Arad pipeline was commissioned in 2010 and is in operation. In RO-HU direction 0.2 mcm/day and in HU-RO direction 4.8 mcm/day capacity is available. PHASE I DEVELOPMENT 1.75 bcm capacities are available from Capacities will be sold on CAM NC auction in July Investment: two new compressor units. The project is in permitting and development phase. Construction is ongoing. MOL Group Chairman-CEO Zsolt Hernádi, Prime Minister Emil Boc, Commissioner Gunther Ottinger, Prime Minister Viktor Orbán in

4 ROHU PROJECT BRINGS 4.4 BCMA NEW SOURCE OF GAS TO CEE MARKETS FROM 2022 ROHU project enables the regional shipment of Black Sea production from 2022 PROJECT EFFECTS The project enables the shipment of Black Sea production, Romanian production to CEE markets 4.4 bcma gateway to new, non-russian source will be available from The transmission of various sources will be available to Slovakia, Ukraine, Serbia, BiH, Croatia, and indirectly to Austria. Supply sources and routes will be diversified on the CEE markets. Utilization of existing infrastructure and development of missing ones lead to less cost of infrastructure PROJECT ROUTE The ROHU Open Season was 5-times overbooked in December The network users have the possibility to execute their exit rights until

5 APPENDIX 5

6 HUNGARY-SLOVAKIA-AUSTRIA (HUSKAT) PROJECT ENABLES THE TRANSMISSION OF 5.2 BCMA GAS TO SLOVAKIA AND AUSTRIA The HU-SK-AT project enables the transmission of natural gas up to 5.2 Bcmannually towards Skand At PROJECT EFFECTS HU-SK-AT PROJECT ROUTE The project enables the transmission of Black Sea production, Romanian and Hungarian indigenous production and other sources towards Slovakia, Austria and the opening Polish, Baltic and Finish markets. Hungarian Government approved the acquisition of MGT (HU-SK interconnector operator) by FGSZ. The acquisition is in progress. Up to 5.2 bcma no pipeline investment is needed. The required modifications of the system will be realized under the ROHU project by The project does not require the development of the HUAT redundant infrastructure (~USD 1 Billion). In case of 9 bcma deliveries 80km pipeline is needed to be developed. 6

7 FGSZ IS ABLE TO TRANSMIT 6 BCMA GAS TO UKRAINE From 2022, 6.1 bcma firm capacities are available to Ukraine TRANSMISSION TO UKRAINE FGSZ offers6.1 bcma(16.8 Million m3/day) interruptible capacity to Ukraine. Network Users increase their shipment year-by year to Ukraine: 2015: 0.5 bcma 2016: 1.0 bcma 2017: 2.8 bcma PROJECT ROUTE HU>UA FIRM CAPACITY PROJECT Traditional transportation routes need to be modified. One of the two existing pipelines cannot be used for outbound deliveries due to contractual and regulatory issues outside of Hungary FGSZ modifies its system under the ROHU project, to upgrade service quality to firm capacities to Ukraine. The development includes the modification of 4 nodes and the development of a new metering system. Ukraine can import at least 6.1 bcma gas from on a firm basis from 2022, to diversify its supply portfolio. Various sources will be accessible for Ukraine. 7

8 THE HUNGARY-SLOVENIA-ITALY CORRIDOR LINKS CEE MARKETS TO ITALY The HU-SI-IT project creates new regional opportunities PROJECT ROUTE PROJECT EFFECTS The project develops physical connection between Hungary and Slovenia and Italy. The corridor establishes 2 bcma bidirectional capacity from Non-binding market test may be carried out in Autumn The project offers additional sources for Italian and Slovenian markets. Italian LNG will be available for CEE markets. Hungarian storages will be accessible for Slovenian and Italian markets 8

9 VERTICAL CORRIDOR LINKS CEE AND SEE MARKETS The Vertical Corridor enables the shipment of gas throughout the region PROJECT EFFECTS The project links the separated gas markets of CEE and SEE countries. The utilization of already existing infrastructure and the development of missing links enables the effective realization of projects. Various sources, including Black Sea production, Azeri sources and LNG can flow along the corridor. Supply source and route diversification enables the increase of liquidity and the decrease of prices in the region. The trading environment and conditions will also be developed along the corridor. 9

10 GROWING MARKETS OF FINLAND, BALTIC STATES AND POLAND WILL BE LINKED TO CEE MARKETS THROUGH PIPELINE DEVELOPMENTS CEE cooperation with Baltic states and Finland creates a new corridor from Finland to Greece EASTERN CORRIDOR Finland and Baltic countries are isolated markets with high level of prices. Connecting the Baltic region to CEE countries creates an Eastern corridor from Finland to Greece. A liquid trading corridor with various sources will be developed. Sizeable Polish-Slovakian interconnector makes the missing link between CEE countries and enables the Eastern corridor. Source: Eustream, Baltic Connector 10

11 HUNGARIAN STORAGES PROVIDE FLEXIBILITY ALONG THE EASTERN CORRIDOR Hungarian storages can provide flexibility for all regional countries with innovative products Storage sites Mobile Withdr mcm mcm/d MFGT sites Hajdúszoboszló Pusztaederics Zsana Kardoskút MMBF site Of which strategic storage Total Virtual storage concept provides flexibility for the market four sites are operated under one virtual storage Peak storage capacities can help to manage supply disruptions and price shocks. Seasonality can be balanced with innovative products of storage operators. 11

12 REGIONAL BOOKING PLATFORM PROVIDES THE COMMERCIAL INTEGRATION FGSZ is providing the solution for commercial integration of the region from Finland to Greece PLATFORMS RBP FACT SHEET Regional Booking Platform Informatic Platform Trading Platform CEEGEX Live operations since 10 December 2014 (Csanádpalota IP) 8 TSOs use RBP in 7 countries Romania: Transgaz Operated by FGSZ Croatia: Plinacro Slovakia: eustream Joint CAM NC capacity booking platform Primary capacity Secondary capacity (OTC) Capacity and contract management Flow management Cleared, anonymous marketplace of BAL NC STSPs and secondary capacity OTC market Organised marketplace (spot market) Hungary: FGSZ, MGT Bulgaria: Bulgartransgaz Greece: DESFA Austria: GCA 122 registered network users 570 network points RBP conducted over 8 million capacity Capacity Network usage Balancing / trading auctions 12