1 POLICY AND STRATEGY OF SUSTAINABLE DEVELOPMENT FOR CENTRAL AND EASTERN EUROPEAN COUNTRIES UNTIL 2030 Warsaw, November 2005 Bolesław Rey Deputy Director Energy Security Department

2 Foreseen development of crude oil and natural gas transmission system taking into account transborder connections from former Soviet Union countries to the region and to the West- European countries Warsaw 2005

3 GAS TRANSIT.

4 1. Target: development of natural gas market in Europe. 2. Needs: More than 2 or 3 independent sources of gas & transport possibilities (diversification of sources). 3. Transport possibilities: transcontinental grids or/and LNG by sea (one grid - one source, LNG terminal - many sources). 4. Result: competitiveness of the European products, security of supply, level of costs for consumers and level of profits for gas sector in Middle Europe. 5. Which way we can reach the target?

5 AMBER YAMAL I YAMAL II DROZDOWICZE Development of the connection to Ukraine and Caspian Sea Region (SARMATIA) LWÓWEK WŁOCŁAWEK HRUBIESZÓW Connection to Ukraine NORTH - WEST BORDER Connection to Germany, Norway and Denmark REVERS IN MALLNOW – connection to Germany, Denmark and Norway ZGORZELEC Connection to German network and to Nabucco LNG TERMINAL AT BALTIC SEASIDE CIESZYN – OSTRAVA CONNECTION TO NABUCCO Diversification of sources & transport roads Connection to Denmark and Norway

6 Further infrastructure development -Yamal II/Amber vs North-pipeline -Nabucoo -Sarmatia -LNG Terminal

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8 AMBER Project

9 Nabucco & Sarmatia Projects

10 CRUDE OIL TRANSIT.

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14 The Odessa-Brody-Płock pipeline project Advisory consortium will prepare the preliminary business plan of the project by the end of 2005.

15 THANK YOU FOR YOUR KIND ATTENTION