Polish energy company ORLEN concluded an agreement on Thursday (14 March) to sell 100 per cent of its shares in Gas Storage Poland to Poland’s gas operator GAZ-SYSTEM, fulfilling a condition for the merger between ORLEN and PGNiG indicated by the President of the Office of Competition and Consumer Protection (UOKiK).
ORLEN finalises merger with PGNiG – becoming the largest energy company in CEE
The agreement concerns the sale of the storage system operator, while the storage facilities themselves remain the property of the ORLEN Group. The acquisition still requires the approval of the President of UOKiK.
“The acquisition by GAZ-SYSTEM of the company that operates underground gas storage facilities will strengthen supervision over strategic gas infrastructure in Poland. It will also improve cooperation between the transmission system operator and the storage system operator. This will also translate into greater security of gas supplies to customers, better use of existing storage capacities and their increase,” said Sławomir Hinc, President of GAZ-SYSTEM’s management board.
The agreement between ORLEN and GAZ-SYSTEM was preceded in February by the consent of the shareholders of the conglomerate to sell 100 per cent of the shares in Gas Storage Poland, serving as Poland’s natural gas storage system operator.
Responsibility for the development of gas storage facilities in the new market model will be assigned to the company GAZ-SYSTEM.
The concentration of tasks related to the operation of the transmission system, LNG Terminal, and natural gas storage within one capital group ensures “optimal decision-making” in the expansion and modernisation of storage facilities, taking into account the needs of both systems and gas market participants, while also ensuring optimal financing and comprehensive investment implementation, GAZ-SYSTEM noted in a press release.
GAZ-SYSTEM and Gas Storage Poland will also be able to more effectively ensure the integrity of the gas transmission system in the event of potential crises, Poland’s gas operator further noted.