Moscow: Russian liquefied natural gas (LNG) exports to Georgia have surged by almost 30% since the beginning of the year, reports the Georgian Oil Product Importers Union. 

The data indicates that Russia dispatched 1.2 million tons of LNG to Georgia in the initial seven months of 2023, up from 960,000 tons during the same period last year.

This notable increase in LNG exports aligns with Georgia's efforts to diversify its energy sources, thereby reducing its reliance on Russia. The country is actively constructing a liquefied natural gas terminal, slated for completion in 2024.

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Factors contributing to this surge include Europe's exorbitant natural gas prices, with Russia as a primary gas supplier. These high prices are largely attributed to the ongoing conflict in Ukraine.

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Consequently, the Georgian Oil Product Importers Union highlights that Georgia now pays approximately $300 per thousand cubic meters of LNG, marking a stark rise from the $200 per thousand cubic meters recorded during the corresponding period last year.

While the escalation in LNG exports is a favorable development for Georgia's energy security, the elevated costs associated with LNG could potentially strain the country's economy. 

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In response to this challenge, the Georgian government is considering measures such as consumer subsidies and the construction of a pipeline connecting the nation to Azerbaijan for more cost-effective gas access.

This surge in Russian LNG exports to Georgia underscores the evolving dynamics in the global energy sector. The conflict in Ukraine has disrupted the conventional energy flow from Russia to Europe, prompting countries to seek alternative sources like LNG. 

The appeal of LNG, deemed reliable and reasonably priced, is anticipated to maintain its upward trajectory in the years ahead.