Ukraine’s state-owned energy firm Naftogaz declared on Monday that it has finalized its first-ever natural gas import agreement with Azerbaijan.
Naftogaz CEO Sergii Koretskyi stated that the company has finalized its inaugural natural gas procurement deal with SOCAR Energy Ukraine, a branch of Azerbaijan’s national oil firm, SOCAR.
The first delivery of natural gas from Azerbaijan is underway through the Trans-Balkan pipeline, which links Bulgaria, Romania, and Ukraine. This agreement, made with SOCAR Energy Ukraine, the local branch of Azerbaijan’s state oil company, establishes a fresh route for importing energy into the country.
The deal follows a new roadmap signed earlier this month by Ukraine and Azerbaijan to enhance cooperation in gas production, storage, and transportation, highlighting a strengthening strategic energy partnership. The agreement was finalized during a high-level meeting in Baku between Ukrainian Energy Minister German Galushchenko and Azerbaijani Prime Minister Ali Asadov.
Energy Minister Svitlana Hrynchuk noted that the Trans-Balkan pipeline route grants Ukraine access to LNG terminals in both Greece and Turkey, along with offshore gas production in Romania and Bulgaria. As part of its winter readiness efforts, Ukraine has signed four agreements with Poland’s Orlen to import 440 million cubic meters of U.S. liquefied natural gas (LNG).
According to a Bloomberg report earlier this week, Ukraine is expected to import record volumes of gas from Europe in 2025.
The deal comes as Ukraine hits its lowest gas storage levels in more than a decade, caused by Russian attacks that have damaged domestic energy infrastructure and reduced Naftogaz’s production capacity by half.
The move is part of Ukraine’s strategy to diversify its gas supply and enhance energy security amid continuing regional instability.
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