Lithuania and Norway's Statoil revised their expired five year LNG deal on Monday, according to Lithuania's news portal Baltic Course.
In accordance with the new ten year deal inked Monday, Statoil's LNG price for Lithuania will see a more than one-third reduction while the costs incurred in using Lithuania's Klaipeda LNG terminal's will be decreased by around 23 percent.
The terminal costs will be decreased to around 84 million euros per year from around 110 million euros.
The new contract agreement will be valid for 10 years in which the annual volume of gas will be reduced to 350 million cubic meters from 540 million cubic meters.
According to Lithuania's Energy Company Lietuvos Energija's CEO, Dalius Misiunas, the price for LNG will go down to 16-20 euros per megawatt hour with the new deal from the current 27-30 euros.
Lithuania buys 80 percent of its natural gas from Russia's Gazprom while the remainder comes from Norway's Statoil in the form of LNG.
Currently Lithuania's Litgas supplies the minimum volumes of natural gas to ensure the operation of the Klaipeda LNG terminal. The terminal, constructed in December 2014, aims to reduce the country's dependence on Russian gas.
The country, faced with
paying one of the most expensive prices for natural gas from Russia in
2015, has opened up other options for alternative supplies through the
Klaipeda LNG terminal.
Misiunas said that the new price will be applied to the new LNG cargo, which was delivered last week.
1 Euro = US$1.08
(Anadolu Agency)
