<article><p class="lead">Poland's state-controlled PGNiG has signed a 10-year charter agreement with Knutsen OAS Shipping for two newbuild LNG carriers to transport US offtake.</p><p>The 174,000m³ vessels — which are under construction — are to enter service in 2023, when the Polish firm expects to start receiving LNG under its long-term supply deal with US export project developer Venture Global LNG.</p><p>PGNiG said it selected Norway-based Knutsen OAS Shipping in a tender that attracted about a dozen other bidders. Knutsen will also operate the vessels for PGNiG. Knutsen has seven 174,000m³ LNG carriers ordered, five of which are expected to be delivered in the second half of 2022 and another two that have been chartered to Shell and are planned for delivery in the first half of 2023.</p><p>The Polish firm is expecting to increase its LNG exposure after its 10.2bn m³/yr long-term contract with Russia's state-controlled Gazprom for pipeline gas supply ends on 31 December 2022. PGNiG has <a href="https://direct.argusmedia.com/newsandanalysis/article/2155928">applied</a> to renegotiate the price paid under the deal with Gazprom, in line with contractual terms that allow for each party to request renegotiation once every three years if they fail to reflect market conditions.</p><p>PGNiG will have about 9.3bn m³/yr of pipeline gas equivalent of US LNG offtake from 2023. About 7bn m³/yr of this is on a free-on-board basis that gives PGNiG flexibility on destination but requires it to have transport capacity, PGNiG said.</p><p class="bylines">By Tomasz Stepien</p></article>
