5 June 2017

Gazprom Export and Srbijagas sign Memorandum to expand UGS capacity in Serbia

Elena Burmistrova, Director General of Gazprom Export, and Dusan Bajatovic, Director General of Srbijagas, signed a Memorandum of Understanding for the expansion of the Banatski Dvor UGS facility on June 3, 2017, during the St. Petersburg International Economic Forum 2017.

Earlier, the Parties came to a principle conclusion on the possible increase of the active UGS volume and daily production. The signed Memorandum provides for the preparation of the technological project and financial feasibility study for the expansion of the Banatski Dvor UGS facility. As expected, the studies carried out within the framework of the Memorandum will allow the Parties to make a final investment decision on the implementation of the UGS expansion project. It is determined that as a result of the expansion the facility will reach an active volume of at least 750 mcm with the withdrawal rate of at least 10 mcmd.

Banatski Dvor UGS, a joint venture of Gazprom Group (51%) and Srbijagas (49%), was commissioned in Serbia in October 2011 at the site of the same-named depleted natural gas field. Active gas volume is currently 450 mcm, maximum withdrawal rate is 5 mcmd and maximum injection rate is 3 mcmd.

Banatski Dvor UGS has continually shown its efficiency as a gas storage facility and compensation means of gas demand fluctuations since the first gas withdrawal season during abnormal frosts in the winter of 2011-2012 and until winter 2017 when gas withdrawal exceeded designed level of 5 mcmd.

Related sections:
Gas Storage, Transportation, Serbia

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