Azerbaijan LNG Deal Boosts Ukraine’s Energy Leverage

Azerbaijan LNG Deal Boosts Ukraine’s Energy Leverage

The perennial standoff between Ukraine and Russia over natural gas prices will be accompanied by an added wrinkle this year, with news that Ukraine plans to ink a deal for a joint venture with energy-rich Azerbaijan for supplies of liquefied natural gas (LNG). The partnership, which will finally introduce unconventional energy sources to Ukraine, underscores the flagging fortunes of Russia’s pipeline monopoly and the dwindling leverage it commands.

According to Vladislav Kaskiv, the head of Ukraine’s State Agency for Investment and National Projects, the formal announcement between Baku and Kiev for the arrangement will be made later this month at the World Economic Forum gathering in Davos, Switzerland.

“According to our expectations, a number of documents on gas supplies [to the LNG terminal currently being built in Ukraine] and the creation of the Azerbaijani-Ukrainian company on gas supplies are to be signed in Davos,” said Kaskiv. “Relevant documents have been initialed, and they are just waiting for the official start of implementation.”

Keep reading for free!

Get instant access to the rest of this article by submitting your email address below. You'll also get access to three articles of your choice each month and our free newsletter:

Or, Subscribe now to get full access.

Already a subscriber? Log in here .

What you’ll get with an All-Access subscription to World Politics Review:

A WPR subscription is like no other resource — it’s like having a personal curator and expert analyst of global affairs news. Subscribe now, and you’ll get:

  • Immediate and instant access to the full searchable library of tens of thousands of articles.
  • Daily articles with original analysis, written by leading topic experts, delivered to you every weekday.
  • Regular in-depth articles with deep dives into important issues and countries.
  • The Daily Review email, with our take on the day’s most important news, the latest WPR analysis, what’s on our radar, and more.
  • The Weekly Review email, with quick summaries of the week’s most important coverage, and what’s to come.
  • Completely ad-free reading.

And all of this is available to you when you subscribe today.