06.02.2011
Government Officials in talks with majors on potential investment opportunities in the energy sector of Ukraine

Government Officials in talks with majors on potential investment opportunities in the energy sector of Ukraine

- First deputy Prime Minister Andrey Klyuev conducted a meeting with Chevron on potential cooperation within oil & gas exploration and production projects in Ukraine. Chevron expressed an interest to develop Black Sea offshore and shale gas projects. Ukrainian PM Azarov had a subsequent meeting with the representatives of Chevron Corp where Chevron said it was ready to invest under two conditions: political stability and clarification of tax rules.

- Minister of Energy and Coal Industry Yuriy Boiko announced plans to create a joint venture with Shell and ExxonMobil for the extraction of shale gas and coal bed methane in Ukraine.

- According to the first deputy PM Andrey Klyuev,amicable settlement agreement with Vanco Prykerchenska Ltd might be signed in the near future. According to the reached agreement there will not be any penal sanctions for the State. There will be certain minor amendments to the original contract signed back in 2007, mainly related to the newly adopted Tax Code. The contract is favourable for Ukraine as Ukraine will keep 50% of Vanco’s production.

- First deputy PM Andrey Klyuev stated that gas production in Ukraine can double if all the potential projects are realised. For example: Chevron and Shell are looking into shale gas and offshore projects. Chernomorneftegas and Lukoil are planning to set up a joint venture to develop Black Sea offshore assets. TNK-BP was given a green light to develop CBM projects.

---

---

---

David
who is the author?

---

Jiro
European prices for Ukraine where average salary is about 200 euro... Jesus Christ, Ladies and Gentlemen!

---

Joro
You speak of lack of investment in exploration in the Ukraine, but as far as foreign investors are concerned the new higher oil tax must have a significant bearing on this situation. It has possibly reached the point where oil exploration is more rewarding in other countries at present- which is a pity.

---