Poland Could End Russian Gas Reliance by October, Shell Says

(Bloomberg) -- Poland could be free of its Russian gas dependency by October when a new pipeline into the country is set for completion, according to Shell.

A report commissioned by the energy major’s Polish unit said that “a complete abandonment of oil from Russia is possible, but the process will lead to higher prices for fuels and other products.” Gas independence will be possible sooner, however, thanks to the completion of the Baltic gas pipeline, a $2.1 billion project, set to bring Norwegian gas to Poland.

Still, filling the link “will certainly be a challenge” amid growing demand for Norwegian gas from other European countries.

“Moving away from Russian raw materials is necessary and possible, but the pace of the exit will have a measurable impact on costs and prices, burdening the budgets of governments, companies and us - end users,” Piotr Kuberka, head of Shell Polska said in a statement.

Poland imports 72% of its oil and 45% of its gas from Russia, according to the report. Of European Union countries, Slovakia is the most dependent on Russia for its energy needs, while two thirds of Poland, Lithuania and Finland’s energy needs come from Russia.

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