Naftogaz proposes first energy projects within agreement with USA — Bloomberg
Naftogaz Group has prepared 10 projects for hydrocarbon production and increasing energy efficiency within the resource agreement between Ukraine and the USA, Bloomberg reports with reference to Serhiy Koretsky, Chairman of the Board of Naftogaz Ukrainy.
“We want to be among the first projects in the pipeline,” the head of Naftogaz said in an interview with the publication.
The company does not disclose details of the proposals for security reasons.
Koretsky called on Western partners to cooperate also on existing licenses.
As noted in the Bloomberg article, Royal Dutch Shell and Chevron launched shale gas projects more than a decade ago, but they shut them down in 2014 after Russia annexed Crimea and began its armed aggression in eastern Ukraine.
The Oleska field in western Ukraine, where Chevron was supposed to operate, is still accessible.
“If Chevron, which is very deep in this topic, in this project, or any other companies that have experience in developing shale gas pay attention to this project in Ukraine’s west, we would be very happy,” the Naftogaz head said.
According to the publication, while the continued fighting is likely to limit the size and types of investments, Koretsky noted that Naftogaz cannot “just sit and wait.”
The company faces some constraints as it has had to divert funds to restore destroyed facilities and support existing production, but with the help of experienced foreign investors, Naftogaz, Koretsky said, “can do way more.”
“There are American and Canadian companies, as well as firms from other countries that have experience in working in those regions where wars or military conflicts were going or are going,” he said. “Of course, it is not a quick process, but if we don’t start it, we won’t reach any results.”
As reported in mid-September, the American-Ukrainian Reconstruction Investment Fund, the initial capital of which the parties have set at $150 million, plans to launch a public website in December of this year through which projects can be submitted for consideration, the American side is showing particular interest in gas projects.