Ukraine, Azerbaijani Seal Groundbreaking Gas Agreement

(MENAFN) On Monday, Ukraine finalized a groundbreaking agreement with Baku to import Azerbaijani natural gas through the Transbalkan pipeline, marking the first-ever delivery of Azerbaijani gas to the conflict-affected nation.

Naftogaz CEO Sergii Koretskyi announced on Facebook that his company has signed its inaugural gas purchase contract with SOCAR Energy Ukraine, the local arm of Azerbaijan's state oil giant SOCAR.

Koretskyi revealed that a test shipment is currently underway, routing gas through Bulgaria and Romania to Ukraine.

“This is a small but strategically important step that paves the way for long-term cooperation. It is also another example of diversifying supply sources and strengthening Ukraine’s energy security,” Koretskyi emphasized.

He highlighted that Ukraine is advancing cautiously to ensure it is “as prepared as possible” for the upcoming heating season.

Ukraine's Energy Ministry credited the agreement to its coordinated efforts at multiple levels, particularly following Energy Minister Svitlana Hrynchuk’s recent visit to Baku earlier this month.

While the present supply quantities are limited, this holds strategic significance by paving the way for long-term and mutually advantageous collaboration between our countries.

“In addition, this is another clear example of successful diversification of energy supply sources, an extremely important factor for reliable preparation for the heating season and its stable passage,” Hrynchuk noted.

A statement issued by SOCAR Energy Ukraine confirmed the signing of a trial gas supply agreement on July 24, 2025, emphasizing that Azerbaijani gas will be transported to Ukraine for the first time ever.

This development fits within Ukraine's larger plan to diversify its gas imports and bolster energy resilience amid persistent regional instability.

Since 2015, Ukraine has avoided direct natural gas purchases from Russia due to ongoing geopolitical conflicts, instead depending on reverse flows and supplies from European nations.

In early 2025, Naftogaz reported acquiring approximately 1.5 billion cubic meters of gas, mainly sourced from European providers.

Additionally, Ukraine’s five-year transit agreement with Russia’s Gazprom expired at the end of 2024 and has not been renewed, further distancing the country from reliance on Russian gas.

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