With a formal signing, Lithuania’s gas transmission system operator Amber Grid and the European Energy Exchange (EEX) today sealed the acquisition under which EEX will take 66% of the shares in the regional gas exchange GET Baltic. As a result, the gas exchange operating in the three Baltic countries and Finland will become part of EEX Group. Amber Grid will hold the remaining 34% of the shares and will continue to support the further development of the gas business in the dynamic Baltic Sea region.
The common goal is to strengthen the markets of GET Baltic and foster integration into the pan-European gas trading markets. The short-term and long-term contracts of GET Baltic will be offered under EEX’s German exchange license, harmonising the products, and making use of the EEX trading infrastructure as well as state-of-the-art clearing services provided by European Commodity Clearing AG (ECC). Market participants will have access to the European gas markets operated by EEX. Once admitted at EEX, the GET Baltic Trading Participants will be able to trade not only the current spot and futures contracts but also other hubs and asset classes offered by EEX. Additional positive impulses will come from the access of existing EEX Trading Participants to the new hubs under one single rulebook.
At a ceremony in Vilnius, Peter Reitz, CEO of EEX, explained the acquisition as follows: „We aim to create a harmonised European gas trading platform based on EEX’s trading infrastructure. The acquisition of the majority shares in GET Baltic extends EEX Group’s offering for the pan-European gas markets as well as our customer base. As a result, this creates new opportunities to increase liquidity in all gas markets operated by EEX and GET Baltic. Our new colleagues of the GET Baltic team will therefore remain of key importance to serve the local customer base and to further develop the product offering in line with market needs.”
EEX offers natural gas contracts in 10 countries and 11 hubs across Europe and with a traded volume of 6,669.5 TWh the Leipzig-based exchange is world´s biggest gas spot exchange and the second largest in European gas futures trading.
Nemunas Biknius, CEO of Amber Grid, continued: “We are happy to have the world’s leading energy exchange as a strategic partner on our side. Our joint efforts will increase the choice and quality of services and products offered by GET Baltic to the region, following the integration of the Baltic and Finnish gas markets into the single European Union market last year via interconnection Poland – Lithuania (GIPL). More intense trade and a larger number of market participants is expected to result in increased liquidity and more competitive gas prices.”
Giedre Kurme, CEO of GET Baltic, adds: “We started in 2012 with a goal to develop a regional exchange and in recent years we have been able to expand our services to other Baltic States and Finland. We want to improve our product offerings, based on the new and modern trading infrastructure adding longer-term products and full-fledged clearing solutions – with having a strong partner like EEX on board we can give these efforts a real boost."
GET Baltic is a significant market player in the region, with 29% market share of total gas consumed in the Baltic and Finnish markets in IQ of 2023 (17% in 2022) traded on its systems. In 2022, a volume of 7 TWh of natural gas was traded on the GET Baltic exchange.
GET Baltic is a licensed natural gas market operator with the Registered Reporting Entity (RRM) status granted by ACER. The company operates an electronic trading system for the trading of short-term and long-term natural gas products with physical delivery at trading sites located in Lithuania and at common trading sites in Latvia, Estonia and Finland. The development of customised solutions for natural gas trading is aimed at increasing liquidity, competitiveness and transparency in the Baltic and Finnish wholesale gas market. More information: www.getbaltic.com
Amber Grid is the operator of the Lithuanian gas transmission system. The company operates 2,288 km of high-pressure gas pipelines, 2 gas compressor stations and gas distribution stations. Amber Grid system is connected to 4 other countries and the Klaipėda LNG terminal. Well-developed Lithuanian gas transmission system serves as regional hub for the gas transmission towards North in Latvia direction and South in Poland direction. After implementing a strategic energy projects GIPL (gas interconnection Poland-Lithuania) and ELLI (enhancement of the Lithuanian and Latvian Press Release Page 3 © EEX AG – part of eex group interconnection) Amber Grid continues to work on integrating the gas market of the Baltic countries into the common European gas market. More information: www.ambergrid.lt
The European Energy Exchange (EEX) is the leading energy exchange which builds secure, successful and sustainable commodity markets worldwide – together with its customers. As part of EEX Group, a group of companies serving international commodity markets, it offers contracts on Power, Natural Gas and Emission Allowances as well as Freight and Agricultural Products. EEX also provides registry services as well as auctions for Guarantees of Origin, on behalf of the French State. More information: www.eex.com
