aA
Lithuania's state-owned railway company Lietuvos Gelezinkeliai (Lithuanian Railways, LG) and the port of Klaipeda are ready to supply oil to oil refiners in Belarus amid the latter's conflict with Russia regarding oil imports.
Klaipėda port
Klaipėda port
© Asmeninis archyvas

Darius Silenskis, CEO of Klaipedos Nafta (Klaipeda Oil), a company handling Belarusian oil products, says the terminal is ready to import oil for Belarus.

"The client decides, and we only provide services. Are we ready? Yes, we are ready both technologically and physically, but that's not our decision," Silenskis told BNS.

"To make its terminal more flexible, Klaipedos Nafta has invested almost 45 million euros over the past 3.5 years and built new storage facilities enabling the company to accept crude oil as well.

Arturas Drungilas, marketing and corporate affairs director at Klaipeda Seaport Authority, says the port has experience in carrying oil to Belarus.

"We have experience in transporting crude oil to Belarus. (…) One crude oil tanker was imported from Iran, but Belarus also has more options," Drungilas told BNS.

Egidijus Lazauskas, head of LG's freight subsidiary LG Cargo, also says the company is ready to transport oil to Belarus.

"Different situations create different opportunities. In fact this idea is not new as such a cargo was delivered via the Klaipeda port, the Klaipeda terminal last year. Technologically this process has been perfected and we see no problems on taking some volume back to Belarus," Lazauskas told BNS.

Belarus imports around 18 million tons of oil a year from Russia. The LG Cargo CEO says Lithuania could realistically carry up to 3 million euros.

"Can we carry 18 million tons? Probably not, but we have taken different volumes over the past ten years, we have had 1.5 million and close to 3 million tons going via Klaipeda," he said.

If Belarus really directed its oil imports via Baltic ports, the flow should be divided by all ports on the eastern seashore, Lazauskas believes.

It's not the first time Belarusian President Alexander Lukashenko has voiced the possibility of importing oil via Baltic or Polish ports.

LG and the Klaipeda port say they are keeping constant contact with Belarus on the possibility to import oil via Klaipeda. Talks also took place before the latest conflict on oil imports between Moscow and Minsk erupted, Silenskis said.

"Those talks are independent from whether today's situation exists or not. (…) We have talked and continue talking about that always that we can (import oil via our terminal – BNS)," he said.

Lazauskas says the last conversation with the Belarusians on the issue took place three months ago.

"We talked about it earlier, some three months ago. They also went and spoke with our colleagues in Latvia and also tried understanding what possibilities were there," the LG Cargo CEO said. "Those consultations took place but to start transportation, we need to receive application on a specific number of railcars. We have not received them so far."

Lazauskas also explained that the period from the receipt of an application to the actual transportation of cargo is not big and usually ranges from one to two weeks.

Meanwhile, Drungilas notes that Russia and Belarus have regular disagreements over oil and gas imports. "It's not the first time, and there have been blockades and restrictions. It always affects the market and consumers. But they always resolve them," he said.

In his words, the oil import issue is a political one but the cheapest way of importing oil for Belarus is doing so from Russia.

"It's a political issue. Belarus has alternatives but they are all more expensive and not beneficial. (…) Of course, it depends on Russia's sale price, but transportation costs are with no doubt higher when carrying it by sea," Drungilas said.

BNS
It is prohibited to copy and republish the text of this publication without a written permission from UAB „BNS“.

Lobbyist seeks EUR 228,000 from state over law-enforcement actions

Andrius Romanovskis, president of the Lithuanian Business Confederation (LBC), has filed a lawsuit...

Klaipėda FEZ joins the civic air quality monitoring initiative

Klaipėda Free Economic Zone (FEZ) has installed the air monitoring hardware and software, integrated...

Lithuanian Airports review: the year 2020 of the biggest challenges for aviation

In 2020, 1.8 million people travelled through all three Lithuanian Airports, which is 72% less...

Paysera expands to Spain: company established, to be followed by a client service network

The Lithuanian-born e-payment network Paysera is expanding to Spain, where the company Paysera España...

Novaturas to relaunch trips from Baltics to Tenerife, Egypt in February

Novaturas, a leading Baltic tour operator, is set to relaunch charter flights to resorts in Tenerife...

Top news

Justice minister to push for regulation of sex change procedures

Lithuanian Justice Minister Evelina Dobrovolska is planning to submit a bill to regulate gender...

Randy Thanthong-Knight | D+

Thailand sold itself as a paradise Covid retreat. No one came

It’s hard to imagine a more luxurious place to spend two weeks of quarantine than the Anantara...

Lobbyist seeks EUR 228,000 from state over law-enforcement actions

Andrius Romanovskis, president of the Lithuanian Business Confederation (LBC), has filed a lawsuit...

R. van Voren. Trump, and his curious Russian support

Now that Trump has settled in his opulent “palace” on the Florida coast and, consequently, the...

Dulkys: lockdown could be extended until early March

Lockdown in Lithuania could be extended until early March and the relaxation of restrictions will...