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Lithuania, Russia negotiating future of Kaliningrad gas transit

Lithuania, Russia negotiating future of Kaliningrad gas transit Photo: Lithuania and Russia discuss extending gas transit agreement (Getty Images)

Lithuanian and Russian energy companies are in talks to extend a gas transit agreement to Kaliningrad, which is set to expire in December, according to LRT.

Lithuania's gas transmission operator Amber Grid and Russia’s Gazprom are negotiating an extension of the deal that allows Russian gas to be transported through Lithuanian territory to Kaliningrad.

According to the outlet, the sides may agree on a shorter contract duration and a higher service fee.

The European Commission has been informed of the talks, as any decision to continue the transit must be made with the involvement of EU institutions rather than on a purely bilateral basis.

The current ten-year agreement with Gazprom, signed in late 2015, expires in December 2025. The previous deal had been in effect since 1999.

Lithuanian President Gitanas Nausėda earlier said he saw no reason why the contract could not be extended if it were beneficial for Vilnius. According to him, Lithuania is ready to ensure gas transit to the Russian exclave, but only on terms that align with its national interests and EU standards.

Energy Minister Žygimantas Vaičiūnas noted that Lithuania earns up to 20 million euros annually from the transit, while LRT estimates the average revenue at around 12 million euros.

As a reminder, Lithuania completely stopped importing Russian gas in April 2022, maintaining only the transit route to the Kaliningrad region. The gas is supplied from Belarus through Lithuanian territory.

It is worth noting that on October 31, Lithuanian Railways announced it would suspend the transit of Russian oil due to US and UK sanctions.

After November 21, no shipments of products from Lukoil or Rosneft will be carried through the country.

Lithuanian Railways said it will comply with US and UK sanctions targeting Russia’s largest oil companies and will end such transportation.