Slovakia: Fico slowed by technical hurdles in gas swap deal with Azerbaijan

Slovak Prime Minister Robert Fico acknowledged on 20 March significant technical difficulties obstructing a proposed gas swap deal with Azerbaijan, while reaffirming the urgency of restoring Russian gas transit through Ukraine.

Share:

Comprehensive energy news coverage, updated nonstop

Annual subscription

8.25$/month*

*billed annually at 99$/year for the first year then 149,00$/year ​

Unlimited access • Archives included • Professional invoice

OTHER ACCESS OPTIONS

Monthly subscription

Unlimited access • Archives included

5.2$/month*
then 14.90$ per month thereafter

FREE ACCOUNT

3 articles offered per month

FREE

*Prices are excluding VAT, which may vary depending on your location or professional status

Since 2021: 35,000 articles • 150+ analyses per week

Prime Minister of the Slovak Republic Robert Fico stated on 20 March that ongoing negotiations with Azerbaijan concerning a gas swap agreement were facing multiple technical barriers. The operation aims to sustain gas transit via Ukraine by replacing Russian gas with equivalent volumes supplied from Azerbaijan. This proposal followed the suspension of gas flows through Ukraine on 1 January.

Constraints of the substitution mechanism

Speaking before the European Affairs Committee of the Slovak Parliament, Mr Fico noted that “all sorts of technical problems” were hampering the implementation of such a mechanism. He emphasised that talks with Baku were continuing, but the most stable route remained a return to conventional transit through Ukraine, under the framework of peace negotiations. He added that such a resolution would mitigate market speculation and logistical complications.

Mr Fico specified that gas imports in the region had seen a price increase estimated at 10% since the halt of Ukrainian transit. He attributed this rise to political decisions in the energy domain, arguing that they do not align with economic realities.

Criticism of European energy plans

The Slovak leader also criticised the European Commission’s roadmap to reduce energy dependence on Russia. According to him, Western Europe cannot operate without gas supply from the East. He warned that the administrative measures proposed to lower energy prices were unlikely to be effective, pointing to a persistent price gap between European and American gas.

Mr Fico linked his country’s support for further European Union sanctions against the Russian Federation to the condition that they do not undermine diplomatic prospects or Slovakia’s strategic energy interests. He stated that existing sanctions had little observable impact on daily life in Russia, while highlighting risks to Slovakia’s nuclear sector if restrictions were expanded.

Nuclear challenges and persistent dependencies

Slovakia generates nearly two-thirds of its electricity from nuclear energy, primarily through five VVER 440/213 reactors operated by the national utility Slovenské Elektrárne. These Soviet-designed reactors continue to rely on fuel supplied by Russia. The country also remains a net exporter of electricity to neighbouring nations, reinforcing the strategic value of its nuclear infrastructure.

AltaGas has finalised a labour agreement with union ILWU Local 523B, ending a 28-day strike at its Ridley Island propane terminal, a key hub for Canadian exports to Asia.
Amber Grid has signed an agreement to maintain gas transit to Russia’s Kaliningrad exclave, with a daily capacity cap of 10.5 mn m³ until the end of 2030, under a framework regulated by the European Union.
Lebanon engages in a memorandum of understanding with Egypt to import natural gas and support its electricity production, with infrastructure rehabilitation and active funding searches required to secure delivery.
Australian producer Woodside has signed a binding agreement with Turkish state-owned company BOTAŞ for the delivery of 5.8 billion cubic metres of LNG starting in 2030.
Condor Energies has completed a $13.65mn private financing to deploy a second drilling rig and intensify a 12-well gas programme in Uzbekistan scheduled for 2026.
After a hiatus of more than four years, Myanmar has resumed liquefied natural gas deliveries, receiving a half-cargo in November to supply two state-funded power generation projects.
The Australian government will require up to 25% of gas extracted on the east coast to be reserved for the domestic market from 2027, in response to supply tensions and soaring prices.
Baker Hughes will deliver six gas refrigeration trains for Commonwealth LNG’s 9.5 mtpa export project in Louisiana, under a contract with Technip Energies.
Shanghai Electric begins a combined-cycle expansion project across four Iraqi provinces, aiming to boost energy efficiency by 50% without additional fuel consumption.
Zefiro Methane, through its subsidiary Plants & Goodwin, completes an energy conversion project in Pennsylvania and plans a new well decommissioning operation in Louisiana, expanding its presence to eight US states.
The Council of State has cancelled the authorisation to exploit coalbed methane in Lorraine, citing risks to the region's main aquifer and bringing an end to a legal battle that began over a decade ago.
Japanese power producer JERA will deliver up to 200,000 tonnes of liquefied natural gas annually to Hokkaido Gas starting in 2027 under a newly signed long-term sale agreement.
An agreement announced on December 17, 2025 provides for twenty years of deliveries through 2040. The package amounts to 112 billion new Israeli shekels (Israeli shekels) (NIS), with flows intended to support Egyptian gas supply and Israeli public revenues.
Abu Dhabi’s national oil company has secured a landmark structured financing to accelerate the development of the Hail and Ghasha gas project, while maintaining strategic control over its infrastructure.
U.S.-based Sawgrass LNG & Power celebrates eight consecutive years of LNG exports to The Bahamas, reinforcing its position in regional energy trade.
Kinder Morgan restored the EPNG pipeline capacity at Lordsburg on December 13, ending a constraint that had driven Waha prices negative. The move highlights the Permian’s fragile balance, operating near the limits of its gas evacuation infrastructure.
ENGIE activates key projects in Belgium, including an 875 MW gas-fired plant in Flémalle and a battery storage system in Vilvoorde, to strengthen electricity supply security and grid flexibility.
Hungary has signed a contract with US company Chevron to import 400mn m³ of LNG per year, while maintaining a structural dependence on Russian gas through a long-term agreement with Gazprom.
Chevron Australia awards Subsea7 a major contract for subsea installation on the Gorgon Stage 3 project, with offshore operations scheduled for 2028 at 1,350 metres depth.
Ovintiv has entered into an agreement with Pembina Pipeline Corporation to secure 0.5 million tonnes per annum of LNG liquefaction capacity over 12 years, strengthening its export outlook to Asian markets.

All the latest energy news, all the time

Annual subscription

8.25$/month*

*billed annually at 99$/year for the first year then 149,00$/year ​

Unlimited access - Archives included - Pro invoice

Monthly subscription

Unlimited access • Archives included

5.2$/month*
then 14.90$ per month thereafter

*Prices shown are exclusive of VAT, which may vary according to your location or professional status.

Since 2021: 30,000 articles - +150 analyses/week.