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    Lithuania Picks Contractor for Polish Gas Link


Amber Grid announced securing a €65mn loan for the project earlier this month.

by: Joseph Murphy

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Lithuania Picks Contractor for Polish Gas Link

Lithuanian gas pipeline operator Amber Grid has hired Germany's LMR Drilling for horizontal directional drilling under the River Neris, in order to lay a gas pipeline to Poland there, it said on June 9.

After Covid-19 restrictions on cross-border movement were lifted last week, German specialists arrived at the site and the work is expected to take two months. 

Lithuania broke ground on the pipeline to Poland in February. Due for launch in late 2021, the pipeline will be able to carry 2.4bn m3/yr of gas to Lithuania and 1.9bn m3/yr to Poland, helping both countries diversify their supplies. 

The project's cost is around €500mn ($544mn), of which around 266mn is covered by a grant from the EU's Connecting Europe Facility. On June 5, Amber Grid also said it had secured an 18-year, €65mn loan from the European Investment Bank. Such loans to support fossil fuel projects are to end in 2021 as the EIB has changed its lending rules.